A lot of small business owners own equities in other companies. Since they do, they figure at some point they might be able to get a loan on those equities in an emergency. Some banks and other institutional lenders will make loans using equities as collateral. They do, but not in the sense that most people would see as an emergency loan. EFH LinkedIn .
A bank will lend perhaps up to 40% of the value of the equities. It is looking dim already. Then the interest rate they will charge will be extreme. But, before they will deal with the loan, you have to write a business proposal describing the use of the funds. That will take some time in getting funding for a small business emergency. MarketWired News for EFH.
Then there is First Equities UK. You should have seen them first, come to think of it. They are not a bank, nor are they a conventional lender. They are a private company, and they are not beholden to government regulations as far as what equities they can lend against. visit https://beta.companieshouse.gov.uk/company/08120457
Their funding is quick. They will lend up to 80% of the value of the equities. Further, they do not want to see a business proposal for the use of the funds. They figure it is your money after it is funded, and it is none of their business what it is for. Their interest rate is lower than any bank or institutional lender. Now we know why we should have gone to Equities First UK, first!