At Lamna, we offer short-term, asset-based loans against business vehicles in Durban, as well as Cape Town, Johannesburg and Gqeberha (Port Elizabeth).
An asset-based loan is a type of secured loan. An asset that you provide – like one or more business vehicles – serves as security for the loan.
This makes it unnecessary to go through a complicated, time-consuming approval process. It also eliminates the need for credit checks and detailed financial histories. Instead, the value of the asset secures the loan.
When to consider using a business vehicle to get an asset-based loan
Any kind of business loan makes sense only if it’s reasonably safe to assume you’ll be able to repay the loan amount and agreed interest.
If a business simply isn’t profitable, sometimes it’s best to let go.
In many other cases, businesses may be able to use loans to:
- bridge short-term cash shortages while waiting on revenue in-flows
- exploit lucrative business opportunities.
For example, a loan against a business vehicle could provide critical funding of operations if your business is awaiting late payment by clients, recovering after temporary closure or working towards completion of a project to secure final payment.
A loan could also fund on-going operations if your business is rebuilding cash reserves after making a large lump-sum payment or investment, or experiencing other temporary cash-flow difficulties.
As another example, a loan could enable your Durban business to take on a lucrative purchase order. Funding could supply the working capital required to get the job done. This could enable your business to expand rapidly, without having significant capital upfront.
How loans against business vehicles work
To get a loan against a business vehicle, call or WhatsApp Lamna on 086 111 2866 or start your application online. Once we start processing your application, you will need to bring the business vehicle in for an evaluation.
Based on this evaluation, we’ll make you a loan offer. If you’re happy with the amount and the terms, you sign the loan agreement. The funds will be transferred directly into your company bank account within 24 hours.
We’ll keep your vehicle in a safe location for the duration of the loan. No-one will drive the vehicle. Once the loan is fully repaid, the vehicle is returned to you in the same condition as when you surrendered it.
Loans against business vehicles in Durban
Our Durban branch has been operating since 2015, providing short-term, asset-based loans in Durban and the surrounding areas.
We offer loans against individual business vehicles or fleets. We also offer loans secured through other assets of value.
Advantages of asset-based loans
Asset-based loans have a few advantages that make them more attractive than traditional bank loans for many businesses. These advantages include:
- no need to submit bank statements or other business documents
- doesn’t affect your credit rating
- can’t threaten any other business assets or the business itself
- loans are paid within 24 hours
- doesn’t affect ownership of the vehicle as long as the loan is repaid.
Why choose Lamna?
Lamna is an established and trusted asset-based lender with multiple branches across South Africa. We’re a registered credit provider (registration number NCRCP7428) and licensed financial services provider (FSB registration number 46335).
We explain terms in straightforward language. Our interest rates are NCR compliant – and we don’t charge hidden fees or penalties.
Client borrows R10,000 for 90 days.
Total Cost of Loan
Fixed rates range from 36% to 60% APR and payment options range from minimum 3 to maximum 24 months. Apart from the initiation and monthly fees shown below, the only additional fee is credit life insurance if the borrower does not have this already.