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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I want to “Factor my Order”

Posted by on May 6, 2012 in Business Tools, Invoice Factoring, Purchase Order Funding | 1 comment

My good friend at Wells Fargo, Roger Welker made this comment after my last blog: “Invoice Factoring versus Purchase Order Funding” – he gets calls all the time asking if his company can “Factor my Order”. Well, the short answers are no, but let’s look at the reasons why. First, you get an order to install fiber optic cable or supply temp staffing to a large creditworthy client. Congratulations! But you realize you don’t have the money to start the job...

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Invoice Factoring versus Purchase Order Funding

Posted by on May 5, 2012 in Business Tools, Invoice Factoring, Purchase Order Funding | 1 comment

By a number of calls we receive at and, there is much confusion about the difference between Invoice Factoring and Purchase Order Funding. Let’s walk through the steps of how each work and what types of companies they are each applicable too. First, Invoice Factoring is available to any company that bills creditworthy clients and must give terms or waits to get paid. So if you sell Trucking, Staffing, IT, Consulting, Food, Wine, Paper, Barbeque Sauce,...

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