What is a Supplier or Vendor Assurance Program?

Posted by on Nov 30, 2012 in Inventory Finance, Purchase Order Funding, Supplier Financing, Vendor Guarantee | 0 comments

What is a Supplier or Vendor Assurance Program?

BusinessCash.com offers Supplier or Vendor Assurance Programs. What is a Supplier or Vendor Assurance Program? As a wholesaler, importer or distributor, many times you will have an order from a client that is beyond your credit limit with your suppliers. BusinessCash.com can use our creditworthiness to entice your vendors to release the goods. That way, you can fulfill that large order that normally you would have to pass one. What is a Vendor Guarantee? Vendor guarantees are a product that we offer as an alternative to the Purchase Order...

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What Are Vendor Guarantees?

Posted by on Sep 17, 2012 in Business Tools, Government Factoring, Purchase Order Funding, Trade Finance | 1 comment

What Are Vendor Guarantees?

What Are Vendor Guarantees? A Vendor Guarantee or Vendor Assurance Program is when you have goods pre-sold but your credit and/or time in business will not allow you to buy the goods from your supplier. Many times a Vendor Assurance Program is also utilized with Invoice Factoring Facility. For example, you have an order to supply cleaning supplies to the government. Your supplier wants payment in advance or a guarantee that they will receive a payment. An invoice factoring company knowing that they will factor your invoice will guarantee...

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The Ins and Outs of Purchase Order Financing

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

The Ins and Outs of Purchase Order Financing

There is a general misunderstanding of Purchase Order Financing. Let us discuss whether it is applicable to your situation. Also, on 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 receive a payment 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. Such vendor guarantee...

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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

I want to “Factor my Order”

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 or supply the labor. Well, what options are...

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Invoice Factoring versus Purchase Order Funding

Posted by on May 5, 2012 in Business Tools, Invoice Factoring, Purchase Order Funding | 2 comments

By a number of calls we receive at businesscash.com and pofunding.com, 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 receive payment. So if you sell Trucking, Staffing, IT, Consulting, Food, Wine, Paper, Barbeque Sauce, Bullets, etc. and you give your creditworthy...

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