THE WEST AVENUE CAPITAL ADVANTAGE
Our niche approach to asset-based lending means that West Avenue Capital clients have more flexibility for their own pursuits. West Avenue Capital works with best of breed companies in our chosen markets.
WHY ASSET-BASED LOANS?
Finding liquidity can be challenging and expensive. Traditional investment houses and banks are an option, but typically these options have an incredible amount of red tape to navigate and less-than-desirable LTV ratios.
Efficiency, speed and flexibility are rare when it comes to capital. This is why West Avenue Capital has chosen to provide an alternative source of capital for individual investors and businesses. Our asset-based loans use equities and other marketable assets as loan collateral for a fixed period, typically a term of two – five years.
A borrower may choose to enter into a transaction with West Avenue Capital if he or she has stock in a listed company and believes the stock will appreciate in value in the coming years. Rather than liquidate his or her position in the company, the borrower transfers the shares as collateral to West Avenue Capital and receives the loan proceeds.
One of the most important features of our stock loan is security for the borrower. If the company stock appreciates during the loan term, the borrower retains 100% of the market value at maturity. Borrowers receive more attractive terms, including interest rates that are lower than what is offered by other financing vehicles.
Our asset-based loans are “non-purpose”, which allows the borrower to invest the proceeds as needed. Whether used to expand a business, retire more expensive debt, or for personal reasons, our clients have more flexibility with their capital.
West Avenue Capital offers borrowers institutional security. All transactions are executed using industry standard methods and trusted legal and accounting partners.
LOW, FIXED RATES
West Avenue Capital is a fixed-term facility with below-market fixed interest rates as low as 3%.
West Avenue Capital transactions are non-recourse, meaning the lender’s recovery is limited to the collateral pledge. Eligible collateral includes publicly traded stocks listed on most major exchanges and other marketable assets.
CLIENT RETAINS ALL DIVIDENDS AND MARKET APPRECIATION
At the end of the loan term and repayment of the loan, all pledged collateral is returned to the borrower.
West Avenue Capital offers loan-to-value ratios of up to 75%.
FAST AND EFFICIENT
From first contact to funding, the entire process can be completed in five to seven business days depending on collateral offered.