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Platinum Art Lending, Finance (non resource), Loan and Art Capital

Tighter lending environment

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Eyal Levy, Founder and CEO of PlatinumArt, says “banks will likely continue to be tight-fisted until credit markets recover. It's simply a much tighter lending environment right now”.


The art boom in recent years was fuelled in part by easy credit from private banks and specialty finance companies. Now, as the credit crunch continues to burden the global commodity and stock markets, many private lenders are pulling back and art world professionals fear it will put even more pressure on the once-booming market for art.

U.S. and international art dealers and collectors borrowed an estimated $2 billion to $3 billion from private banks and other financial-services companies over the past decade. The loans are often backed wholly or partially by the art itself with private lenders typically charging modest monthly interest payments. Now, even the wealthiest collectors and dealers are finding it difficult to secure lending, experts say. It becomes clearer that the banks are really tightening up on this market too.

Eyal Levy, Founder and CEO of PlatinumArt, says “banks will likely continue to be tight-fisted until credit markets recover. It's simply a much tighter lending environment right now”. That’s the reason Mr. Levy started his new company PlatinumArt  LLC,  a specialty finance company dedicated to the art dealers and collectors community. “We call it ArtFlow Funding and it is the process of introducing the much needed cash flow into this community, free of red tape and Personal Guarantees”.

The concept of leveraging art has existed for years. Private Banks and many corporate giants such as Deutsche Bank, UBS and Emigrant Bank have long offered lending services through their art advisory wings in an effort to lure business from wealthy clients. Other specialty finance companies have been successful in this niche market as well. Part of art financing's success can be attributed to its appeal. However “the market is shrinking because of Personal Guarantees,” says Mr. Levy. “People that were giving their personal guarantees without any thought are more cautious at the current environment as well as the banks and finance community that will not lend to anyone”.

Founded January 18th, 2010 by Chairman and CEO Eyal Levy, PlatinumArt is able to provide these distinct services because of Mr. Levy’s 20-year tenure with the Platinum Funding Group, which he founded in 1992.  It was among the world’s leading factoring companies with offices around the globe.  In its last year of operations, Platinum Funding Group had over $250 Million in total sales. “The intention”, says Mr. Levy, “was to combine my passion for art and the knowledge of specialty finance into one product that may assist the art market as the credit crunch hits the art world globally”.