Luxury Asset Lender, Suros Capital, has created a new finance product specifically for the watch industry to help both dealers and collectors finance a range of opportunities.
The new Dealer Inventory Loan, which allows watch businesses to use existing inventory to raise working capital. It is believed to be first product of its kind to be offered within the industry.
Suros is delighted to have completed the first transaction of this new offering for a Hatton Garden watch dealer, a highly active operator in this fast-moving market, who was looking to raise £120,000 for new stock purchases.
The client explained to Suros Capital’s Business Development Director, Charles Hodge, that because certain brands and models of luxury watches such as Rolex, and Patek Philippe’s Nautilus are currently going up in value by around 5% per month, it did not make any sense to sell stock to raise the finance required.
With the appreciation in value of his inventory more than outweighing the cost of the loan terms offered by Suros Capital, borrowing to fund new growth opportunities ensured he did not lose out on the asset appreciation of the items already in stock. Most importantly, he has been able to continue trading by adding more stock to his inventory.
Speaking about the new Watch Dealer Inventory Loan product, Charles Hodge said: “We are delighted to be able to offer watch and jewellery dealers and collectors this unique new lending opportunity and have already seen a lot of interest, particularly from watch dealers, who do not want to miss out on the market appreciation of particular stock items.”
For further information, and to discuss the opportunity, contact Suros Capital on 0800 038 5974 or visit www.suroscapital.co.uk