Most lenders will require the following: Credit Application Driver’s license Client list with annual sales and full contact details Formal open receivable and payables report Corporate documents I.E. certificate of incorporation or corporate resolution Copy of recent invoices and purchase orders
Purchase Order Financing
Yes. Separate payments or letters of credit can be presented to each supplier.
No. The lenders will pay the suppliers directly.
Banks lend money based on a borrower’s balance sheet, financial history and cash flow. Purchase order financing is provided based on the profitability of a transaction.
Purchase order financing is used to pay your supplier cost.Normally clients are required to pay 20-30% to suppliers. Our lenders will provide payment to them or provide a letter of credit to meet these obligations. This provides businesses with the capital needed to fulfill large orders that exceed their current financial capabilities. Funding is then […]