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Demystifying the security aspect of cashflow loans for SMEs

21st May 2019   ·   The ThinCats Team   ·   Insights

A “secured loan” has historically required that a borrowing company post an asset as collateral, such as equipment or property, to “secure” the capital that a bank loans to them. Given that this is the predominant type of secured loan, SMEs understandably equate the term with a need to own property or specific types of asset. However, there is another important type of secured loan that does not require collateral in the form of physical assets: the cashflow loan.

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