Get Your Purchase Order Finance Application Approved in 5 Simple Steps!

Posted November 9, 2020

In AR Mortgages, Cash Flow, Confidential Invoice Finance, Debt Collection, Debtor Finance, Entrepreneurs & Startups, Export Factoring, Inside AR Cash Flow, International Trade Finance, Investing, Invoice Factoring, Invoice Finance, Port to Port Finance, Production Funding, Project Finance, Purchase Order Finance, Trade & Inventory Finance

One of the greatest financial challenges for resellers can be receiving a large purchase order and not being able to fulfill it due to cashflow constraints.

Why Use Purchase Order Financing?

Suppliers you are working on demand for a pre-payment.
The client’s order is too large to fulfill.
Clients will only pay you as soon as they receive the goods or up to 60 days after receiving the goods.

Purchase order finance provides the funding you need to pay the suppliers which allows them to produce the goods and allows you to fulfill the order.

AR Cash Flow can help you with funding to pay your suppliers and fulfill large orders, enabling you to grow your business with confidence!

Find out exactly what you need to do!

So here are the top five ways to get your loan across the line:

MUST HAVE PURCHASE ORDERS

Purchase order financing can help if you have legitimate purchase orders which you cannot fulfill because you lack funds. Purchase orders need to have quantities, delivery dates, and actual amounts or dollar amounts.

DETERMINE IF INVOICES ARE ELIGIBLE FOR FINANCING

The main thing about this is when the goods get delivered and the purchase order is fulfilled, the invoice that is generated is financeable from a debtor finance point of view.

Goods delivered on a sale, returned or exchange basis won’t be financeable.

We can only finance debtors or invoices to your customers that are actual proprietary limited companies.

GROSS PROFIT

The more profit you have in the product that you’re delivering, the less risk you pose the financier. Good profit means we know that you’re motivated to get that stock delivered.

COST ESTIMATE

Provide cost breakdown of the purchase order including materials and/or labor.

QUALITY CONTROL SHOULD BE IN PLACE

Quality control must be in the factory where the goods are manufactured. Making sure they can provide shreds of evidence that they have inspected the goods and ticked off the quality aspect.

We offer purchase order financing at competitive rates and can work in most industries.

For inquiries please call us at 0432 822 949, (02 8074 2674), or email him at [email protected].

Financing is just one phone call away!