Green Capital Funding, LLC
Inventory Financing, Business Equipment Financing, Collateralize Inventory
Managing your cash flow well means having enough items to sell to satisfy demand, while selling it quickly enough to cover your costs and avoid large storage bills. The faster a business turns inventory, the lower the risk they incur, and the more they increase their cash flow. Inventory Finance is a method of financing in which a business can use inventory as collateral in order to obtain an advance, a loan, or a revolving line of credit so that they can purchase products (or inventory) or solve short-term cash flow problems. This is a great source of financing for companies that have to pay their suppliers faster than they are able to sell their inventory. It is also a great way to keep up with seasonal fluctuations in demand. Because Inventory is less liquid than other forms of collateral, the advance rates are significantly lower to minimize risk for the lender(s).
Inventory financing advance rates usually top off at 50% of the cost of goods or 75% of orderly liquidation value. This is because lenders have to take the liquidation value and rotation of inventory into consideration--they typically like to keep the amount advanced on inventory as a percentage of the accounts receivable. The advance may change with seasonal fluctuations, however, it will always revert back to formula. At Green Capital Funding, LLC We work with many well-capitalized lenders that are aggressively lending. Many of our clients, companies just like yours, can receive the working capital they need even in today's hard economic times.
Turn your future sales into cash NOW, and gain the working capital and the peace of mind your company needs to succeed. Get a Free Quote Today from Green Capital Funding, LLC.
Business Equipment Financing
, Collateralize Inventory
, finance Inventory
, Green Capital Funding, LLC
, Inventory Financing
, inventory loan