Product Update: Bridging Loans against capital equipment during restructure

It’s no secret that funding companies either through a turnaround or with a controller appointed can be a challenge.

Luckily there are options for practitioners and turnaround specialists to fund companies requiring capital during appointments.

Stak’s a specialist funder that can provide funding through a variety of complex scenarios that fall outside a traditional funders appetite.

Bridging a Plant and Equipment Sale

Stak’s expertise in turnaround and insolvency enables us to provide creative funding solutions when a capital raise against existing assets needs to take place.

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One such scenario is this:

When equipment (P&E) has been sold to another corporate entity. Working capital from the sale can be utilised within the business to cover costs without liquidating assets at a reduced value.

This type of funding provides a short-term bridge that enables company (a) to raise capital immediately against P&E from buyer company (b). Company (b) is then able to the paydown the sale/purchase immediately via a traditional finance lease or in some cases extended terms to match repayments.

If you’re a turnaround or insolvency practitioner raising immediate working capital to guide a company through the process is critical to executing a successful appointment.

Need help raising capital against P&E? Ask Stak.

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We regularly share our thoughts on trade finance, lending, procurement, logistics, and international trading.

Stak provides working capital to clients that sell to some of the largest buyers in Australia & overseas.

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