Floor Plan Collateral

Retail floor planning also referred to as floorplanning or inventory financing is a type of short term loan used by retailers to purchase high cost inventory such as automobiles.
Floor plan collateral. Items commonly financed through a floor plan facility are automobiles trucks recreational vehicles boats construction equipment agricultural equipment manufactured homes. The collateral supporting floor plan loans should be limited to equipment actually being financed by the floor plan provider. Floor plan lending is a form of inventory financing for a dealer of consumer or commercial goods in which each loan advance is made against a specific piece of collateral. Floor plan inspections collateral specialists inc s floor plan inspection service provides financial institutions with an accurate accounting of their floor planned inventory.
With this service clients can have a regularly scheduled accounting of their inventory as often as they desire. Specialty lenders traditional banks and finance arms of manufacturers provide the. Floor planning is commonly used in new and used car dealerships. Floor planning is a form of retailer financing for large ticket items displayed on showroom floors or lots.