3 Inventory Financing Solutions

 

Shannon Shular 2014

Standalone inventory lines of credit enable companies to remain competitive while supporting the demand of quick delivery to accounts.

For years these programs were reserved for companies with sales in excess of $20M annually. However, recently the market has shifted creating viable options to the lower middle market borrower.

I’ve outlined the program structure below for your consideration. Please let me know if this program may open new opportunities for your business to grow.

 

Topic: Standalone inventory lines of credit backed by inventory & purchase orders

Standalone inventory lenders don’t finance accounts receivable, rather they partner with receivable lenders and banks offering those solutions. By partnering with existing lenders, this program provides maximum availability to borrowers.

Inventory Financing

  • Revolving lines of credit against existing inventory and goods in-transit
  • Wholesale & retail businesses in the U.S and Canada may qualify
  • Advance rate of 50% of cost or 75% of liquidation value, whichever is less
  • Bankers: Create working capital solutions for clients; ideal for businesses not eligible for bank financing or businesses exiting a lending relationship
  • Prospects: No ratio restrictions of inventory to accounts receivable

Purchase Order Financing

  • Up to 100% of costs to fund the procurement of goods against purchase orders
  • Production financing & soft-cost advances available
  • Funding occurs via letters of credit and/or wires to fulfill supplier obligations

 

Please contact me to discuss additional options for supporting your working capital needs.


Shannon Shular
858-486-8800
www.transcapservices.com
shannon@transcapservices.com