Restaurant acquisition rescued by Suros Capital loan backed by watch collection
Suros Capital, the luxury asset short term lender, has advanced £53,200 (70% LTV) to a restauranteur against a collection of Rolex, Hublot and Audemars Piguet watches valued at £76,000.
In the process of purchasing a second restaurant, the buyer had miscalculated the amount of money required to complete the deal and pay for renovation and the necessary change of usage costs.
Introduced by a broker, the client required an immediate short term cash injection or risk losing the deal and being unable to open for business on time. Suros Capital assessed the watches and offered 70% of the value of the watches. The funds were made available immediately and drawn down within 48 hours of the initial enquiry.
Charles Hodge, business development director at Suros Capital said, “ The client had thought his only option was to sell his watch collection to raise the money. Not only would it have taken time, but it is likely he would have had to accept a lower valuation. This is a perfect case to highlight how luxury assets do not need to be sold, but can provide immediate funding acting as security and when normal finance routes would just be too slow to respond. This case was very time sensitive, but we were able to provide the funds required with the minimum of fuss to make sure that the restaurant purchase went ahead.”