R 500
R 125000
R 250000
REPRESENTATIVE EXAMPLE: ESTIMATED REPAYMENTS OF A LOAN OF R30,000 OVER 36 MONTHS AT A MAXIMUM INTEREST RATE INCLUDING FEES OF 27,5% APR WOULD BE R1,232.82 PER MONTH. REPAYMENT TERMS CAN RANGE FROM 2 - 72 MONTHS. CREDITUM IS AN ONLINE LOAN COMPARISON TOOL AND NOT A LENDER. INTEREST RATES CHARGED BY THE LENDERS FOUND IN OUR SERVICE CAN START AS LOW AS 20% APR, INCLUDING AN INITIATION AND SERVICE FEE DETERMINED BY THE LENDER. THE INTEREST RATE OFFERED DEPENDS ON THE APPLICANTS' CREDIT SCORE AND OTHER FACTORS AT THE LENDER'S DISCRETION.

Asset-based Loans

In order to find the best loan for your needs, it is important to compare loans online.

  • Apply in minutes
  • Get offers from multiple lenders
  • Choose the best loan option available

Note: If you are not satisfied with the loan offers, you don’t have to select any of them.

Applying for a loan online – How it works

About 5 minutes

1. Select loan amount

In the calculator, select the loan amount you need.

The minimum amount is R 500 and the maximum amount is R 250 000.

 

2. Fill out contact details

Fill out your email address and your cellphone number.

Keep in mind that you will receive the loan offers through these channels.

 

3. Fill in additional details

The applications are often processed automatically. To achieve this, banks and lenders need some additional details, like your employment status and monthly income.

 

4. Select the best loan offer

Compare the offers & select the best one! If you are not satisfied with the offers, you don't have to do anything. The application expires automatically.

 

Asset-based Loans in South Africa

Are you a business owner in South Africa looking for a loan to grow your business? Have you been turned down for traditional bank loans due to insufficient credit history or collateral? Look no further than asset-based loans. These loans are secured against your business assets, such as inventory, equipment, or real estate, and offer a flexible and accessible financing option.

How do asset-based loans work?

An asset-based loan is a type of loan that is secured by your business assets. The lender will evaluate your assets and determine the loan amount based on the value of the assets. In the event that you are unable to repay the loan, the lender will take possession of the assets used as collateral.

Asset-based loans can be an excellent option for businesses that may not qualify for traditional bank loans due to insufficient credit history. The loan amount is based on the value of your assets, so your credit score is not as important as it would be for a traditional loan. Additionally, asset-based loans offer more flexibility in terms of repayment schedules and interest rates.

Benefits of asset-based loans

Asset-based loans offer several benefits to business owners in South Africa. One of the primary benefits is that they are more accessible than traditional bank loans. If you have been turned down for a traditional bank loan due to insufficient credit history or collateral, an asset-based loan may be a viable option.

Another benefit of asset-based loans is that they offer more flexibility in terms of repayment schedules and interest rates. Since the loan amount is based on the value of your assets, the interest rate is typically lower than it would be for a traditional loan. Additionally, you may be able to negotiate a more flexible repayment schedule that works better for your business.

Types of assets that can be used as collateral

A wide variety of assets can be used as collateral for an asset-based loan in South Africa. Some of the most common types of assets used as collateral include inventory, equipment, and real estate.

Inventory-based loans are secured by your business inventory. The value of the loan is based on the value of the inventory being used as collateral. Equipment-based loans are secured by your business equipment. The value of the loan is based on the value of the equipment being used as collateral. Real estate-based loans are secured by your business real estate. The value of the loan is based on the value of the real estate being used as collateral.

Eligibility criteria for asset-based loans

The eligibility criteria for asset-based loans in South Africa vary depending on the lender. However, there are some general requirements that most lenders will look for.

Firstly, you will need to have assets that can be used as collateral for the loan. Secondly, your business will need to have a proven track record of generating revenue. Finally, you will need to be able to demonstrate that you have the ability to repay the loan.

How to apply for asset-based loans

The application process for asset-based loans in South Africa is relatively straightforward. Most lenders will require you to fill out an application form and provide documentation to support your application.

You can typically apply for an asset-based loan online or in person. The application process will typically involve providing information about your business, your assets, and your financial situation. Once your application has been reviewed, the lender will make a decision on whether to approve your loan.

Documents required for asset-based loan applications

The documentation required for an asset-based loan application in South Africa will vary depending on the lender. However, there are some common documents that most lenders will require.

Firstly, you will need to provide proof of ownership of the assets being used as collateral. This may include documentation such as invoices, receipts, or titles. Secondly, you will need to provide financial statements and other documentation to demonstrate your ability to repay the loan. Finally, you may need to provide personal financial information, such as tax returns and credit reports.

Asset-based loan rates in South Africa

The interest rates for asset-based loans in South Africa vary depending on the lender and the type of asset being used as collateral. Generally, interest rates for asset-based loans are lower than those for traditional bank loans.

The interest rate for your loan will be based on a variety of factors, including the value of your assets, the length of the loan term, and your credit history. It is important to compare rates from different lenders to ensure that you are getting the best deal.

Comparison of asset-based loan rates from different lenders

To help you find the best asset-based loan rates in South Africa, we have compiled a list of the top lenders offering asset-based loans. We have compared the interest rates, loan terms, and eligibility criteria for each lender to help you make an informed decision.

Lender A offers asset-based loans with interest rates starting at 8% per annum. The loan term is typically 12 months, and the minimum loan amount is R100,000. To be eligible for a loan, your business must have been in operation for at least one year and have a proven track record of generating revenue.

Lender B offers asset-based loans with interest rates starting at 10% per annum. The loan term is typically 24 months, and the minimum loan amount is R250,000. To be eligible for a loan, your business must have been in operation for at least two years and have a minimum annual turnover of R1 million.

Lender C offers asset-based loans with interest rates starting at 12% per annum. The loan term is typically 36 months, and the minimum loan amount is R500,000. To be eligible for a loan, your business must have been in operation for at least three years and have a strong credit history.

Tips for choosing the best asset-based loan lender

When choosing an asset-based loan lender in South Africa, it is important to consider several factors. Firstly, you should compare interest rates from different lenders to ensure that you are getting the best deal. Secondly, you should consider the eligibility criteria for each lender to ensure that you are eligible for a loan.

Other factors to consider include the loan term, repayment schedule, and any additional fees or charges. It is also important to read reviews and do research on each lender to ensure that they have a good reputation and are trustworthy.

Conclusion

Asset-based loans can be an excellent financing option for businesses in South Africa. These loans offer more accessibility and flexibility than traditional bank loans, and can be secured using a variety of assets. By comparing rates and eligibility criteria from different lenders, you can find the best asset-based loan to help grow your business. With our easy online application process, you can apply for a loan from the comfort of your own home or office. Don’t let insufficient credit history or collateral hold your business back – apply for an asset-based loan today.

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Lime
Loan amounts
R300
R5400
Payback period
5 days to 7 weeks
Interest rate
Daily interest rate of 0.1% to 0.16% depending on Tariff Group
Other fees
R69/month + opening cost 16,5% of first R1000 lent + 10% of loan amount over R1000 (+VAT). Limited to lesser of 15% of loan amount (+VAT).
Representative example: If you want to borrow R2000 for 30 days, you have to pay back R2428.78. The total cost includes interest, VAT, and a monthly service fee.
MyLoan
Loan amounts
R100
R250000
Payback period
7 days to 36 months
Interest rate
MyLoan is an online loan broker and not a lender. Interest rates of the loans in the comparison panel can start as low as 20% APR.
Other fees
MyLoan is an online loan broker and not a lender. Other fees depend on the brokered loan.
Representative example: a R50 000 loan at an interest rate of 24.5% per annum plus a once-off initiation fee of R1 207.50 (added to the loan amount in this example) and a monthly admin fee of R69.00, over 72 months would have a total cost of R 103 155.57. The maximum annual interest rate including fees is 27.5%. Repayment terms can range from 1 - 72 months. MyLoan is an online loan broker and not a lender. T service is free and we work with NCR licensed lenders in South Africa. Interest rates charged by lenders can start as low as 20% APR, including an initiation and service fee determined by the lender. The interest rate offered depends on the applicants’ credit score and other factors at the lenders’ discretion.
Boodle
Loan amounts
R500
R8000
Payback period
16 days to 6 months
Interest rate
Daily interest rate of 0.17%
Other fees
Service fee R60 per month + Initiation fee R165 on the loan above R1000 + Insurance premium R4.50 per R1000 per month on the daily balance
Representative example: The payback time and total costs differ depending on the amounts. Final costs and fees are shown on the next page before agreeing to the loan.
Fasta
Loan amounts
R800
R8000
Payback period
1 month to 3 months
Interest rate
Monthly interest rate 3%
Other fees
Initiation fee R994 + Service fee R69 + Credit protection fee R48.76
Representative example: The payback time and total costs differ depending on the amounts. Final costs and fees are shown on the next page before agreeing to the loan.
MPowa
Loan amounts
R500
R8000
Payback period
16 days to 6 months
Interest rate
Interest of 5% per month, 3% on additional loans during the same calendar year
Other fees
Initiation fee of 16.5% of the capital amount on the 1st R1000 then 10% on each amount over R1000 plus VAT. A service fee of R60 per month plus VAT.
Representative example: The payback time and total costs differ depending on the amounts. Final costs and fees are shown on the next page before agreeing to the loan.