Acquisition loans are used by collectors and art-world professionals to assist in purchasing items either privately or at auction. They operate in a similar way to home mortgage loans insofar as the buyer need only have a percentage of the purchase price in readily available funds and the acquisition loan provider will provide the shortfall. Apollo Collector Services can help:
  • dealers and galleries that traditionally resort to co-buyers or ‘backers’ to help fund purchases
  • private collectors who may not have all the funds required when an acquisition arises
  • facilitating auction purchases by pre-agreeing an upper limit on the hammer price

Case Study

A large gallery was able to acquire a significant Soulages at auction for £3.1m despite having only £1.5m in available funds.

The acquisition loan provider provided the £1.6m shortfall by way of a pre-agreed acquisition facility at an 8 per cent per annum interest rate, and the painting itself was used as the only security on the loan. The painting was sold 18 months later for £4.5m and after the loan provider was repaid with interest, all the remaining profit was retained by the gallery.

If you have any questions or would like to know more about the services we offer, please contact us and we will get back to you