Inventory Finance for Business

Posted by on Jul 9, 2012 in Business Tools, Inventory Finance, Purchase Order Funding, Trade Finance | 0 comments

Recently we helped a distributor of contact lenses with their working capital needs. Like many other companies, they have significant investments in inventory that runs between 3-4 times the value of their accounts receivable. Invoice Factoring alone would not meet their needs. We can turn assets into the working capital with our inventory finance program or PO Funding services. We advance funds against the value of your inventory, effectively increasing your borrowing power. An Inventory...

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How Does PO Funding Work?

Posted by on Jun 23, 2012 in Business Tools, Purchase Order Funding, Trade Finance | 0 comments

Scenario: After much hard work, you finally secure that large purchase order from a creditworthy client. Congratulation! However, you have nowhere near enough working capital to buy the product to fulfill the order. What can you do? You have heard of PO Funding or Purchase Order financing but you don’t understand how it works, whether you qualify or the steps to being approved. Also, how does PO Funding differ from Invoice Factoring? First, let’s discuss the mechanics of both tools...

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International Factoring & Export Finance

Posted by on Jun 5, 2012 in Business Tools, International Factoring, Purchase Order Funding | 0 comments

In addition to providing Purchase Order Financing, BusinessCash.com provides International Factoring and Export Finance to US, Caribbean and Canadian based companies selling overseas. International Factoring is for companies operating anywhere in the world, selling to customers around the globe. Export Finance is perfect for exporters and importers looking to alleviate overseas credit risk and streamline global receivables collections. Businesscash.com empowers their clients by providing cash...

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Bank Financing versus Invoice Factoring

Posted by on May 31, 2012 in Business Tools, Invoice Factoring, Purchase Order Funding | 0 comments

What is the difference between a line of credit from a bank and Invoice Factoring from a Factoring Company? Well, let us first review how a bank would look at you as a potential loan client. A bank will paint a complex picture of you and your company using the “5 C’s of Credit“. What are the Five C’s of Credit? Character, Capacity, Capital, Conditions, and Collateral. Click on the link for an excellent description. If you can meet a bank’s many requirements and...

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The Ins and Outs of Purchase Order Financing

Posted by on May 22, 2012 in Purchase Order Funding | 0 comments

Purchase Order Financing is very misunderstood. Let us discuss whether it is applicable to your situation and what you can do to qualify for Purchase Order Financing or PO Funding. You should distribute or wholesale a product: Purchase Order Financing is designed to either buy the goods for you or give your vendor confidence that they will get paid if they perform properly. A PO Funder can write a letter of credit payable to your supplier or they can give your supplier a Vendor Guarantee that...

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How to best Utilize an Invoice Factoring Company

Posted by on May 18, 2012 in Business Tools, Invoice Factoring, Purchase Order Funding | 2 comments

Why hide from the facts? Working Capital from an Invoice Factoring Company is more expensive than a traditional line of credit from a bank. Of course, you might not qualify for bank financing or bank financing could be woefully short of your capital needs. However, working capital is just a business tool to be used and like all tools must be used correctly. Let us look at how to get the most out of your Invoice Factoring Company partner: Use Your New Credit Department: One of the best tools...

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