WatchBox has partnered with Luxury Asset Capital to provide specialty financial services to enable its clients quick access to capital.
The capital will be backed by luxury timepieces or other luxury assets held as loan collateral by Luxury Asset Capital.
WatchBox hopes the move can allow its customers to realise a broader range of options for their timepieces.
Chief marketing officer for WatchBox, David Kaplan, said: “Our strategy at WatchBox is to deliver a full suite of services for the luxury watch buyer and collector.
“We buy, sell, and trade thousands of watches every year. Our partnership with Luxury Asset Capital allows clients to tap into the equity of their luxury assets without forfeiting ownership or future appreciation.”
The scheme works by allowing prospective clients to initiate the loan process through an inquiry on WatchBox’s website, similar to the process of selling a watch.
Then, after receiving a loan quote from Luxury Asset Capital, the client receives free insured shipping to Luxury Asset Capital’s secure facility and upon inspection of the watch, Luxury Asset Capital offers financing in amounts up to $5m.
Funds can then be wired immediately upon agreement of loan terms, and owners can redeem their collateral, watches or other luxury goods, at any time by paying off the loan principal plus service fees incurred.