"We ask advisers to think laterally when it comes to assessing what security their clients can put up for a loan."
FR: What part of the short term lending market does Suros Capital occupy?
We offer a short term lending solution (up to two years) which is not predicated on bricks and mortar security. Suros Capital is focussed upon fast, reliable finance for owners of luxury assets, such as watches, jewellery, cars, art and high end wine portfolios. We utilise these as security for loans to both individuals and UK companies.
FR: How do you introduce Suros Capital to brokers who have never considered using you?
We ask advisers to think laterally when it comes to assessing what security their clients can put up for a loan. Typically, non-property assets are not considered suitable when brokers complete the asset and liability statement for a client. Suros Capital would like all advisers to reconsider luxury assets which are often ignored as potential routes to raising finance.
FR: What are the main reasons for brokers and their clients to use Suros Capital?
Our introducers make use of Suros Capital because we offer a refreshingly different approach that compliments rather than challenges traditional short term funding methods. Because our main focus is on assessing the value of the luxury asset(s) being offered as security, we are able to simplify the whole loan process. There are no credit checks, valuation or legal fees either. Funds are instantly available once the asset valuation is done.
FR: Do you see Suros as offering a genuine alternative to traditional bricks and mortar bridging lenders, or as a last resort?
Definitely as a genuine alternative. As I said, we complement existing bricks and mortar lenders and can transact in as little as 24 hours, so Suros Capital offers an expeditious route to funding that is much quicker than if a client utilised their property portfolio. Brokers who are used to property based bridging lending just need to expand their fact finds to include their clients’ luxury assets along with property assets.
FR: When you talk to brokers, which of your USPs do you consider to be the most important?
Speed. Brokers often get in touch when clients are facing deadlines around tax bills, school fees or a closing of a transaction and because access to the funds we provide is only limited by how quickly we can value the asset, we can step in to rapidly provide a solution.
FR: You launched funding for SMEs back in January, how has that been received and how does it differ from your normal offering to individuals?
The new SME funding has gained significant traction in the market: businesses are coming to us to leverage their existing inventory of assets to acquire more and provide capital. The valuation process is identical to that of when lending to an individual and the KYC on a business is slightly more onerous depending on the shareholding structure of the business that is applying.
FR: Do you see luxury asset lending becoming more than a small niche product in the wider short term lending market?
I do. Clients are investing in luxury assets as both a passion and an investment which they predict will appreciate over time; rather than sell those luxury assets they would rather borrow against them and retain ownership for the longer term. They are also realising that with Suros Capital, they are able to access funding for any purpose at a moment’s notice.
