Simple Funding for Inventory and Receivables
By: Ryan Attelle
Not all businesses are aware of the fact that they are probably eligible for receivable and inventory financing from a large number of companies that specialize in receivable and inventory financing.
There are companies also offering inventory financing programs called purchase order funding. Under the program these companies will lend businesses funds to buy either the goods its resells or the components it needs to make its products. This program requires that business seeking the funds has a purchase order in place. The receivable and inventory financing company then provides funding so that the business needing the money can buy inventory to fulfill its purchase orders whether the inventory is considered finished goods or just components.
Both factoring and purchase order funding programs are great ways to rapidly increase a businesses liquidity so they can do more business using less of the businesses funds.
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