Asset-based lending is the business of loaning money in an agreement that is secured by collateral. An asset-based loan or line of credit may be secured by inventory, accounts receivable, equipment, or other property owned by the borrower. The asset-based lending industry serves business, not consumers. It is also known as asset-based financing. These loans can take weeks or months to fund and require audited or reviewed financials, aging reports, collateral lists, appraisals, customer lists etc. Rates are typically in the prime + range and are either usually for 1 to 5 years.