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Sand River
  • WORKING CAPITAL FINANCE

Accounts Receivable

​​RESOURCE  FACTORING

  Standing in the market place and widely available

​​  If your customer does not pay the invoice, the factoring provider can come back to you for payment

  You assume risk on non-payment, including in the event of insolvency by your customer

  Resource factoring fees tend to be the lowest, all else being equal, as the pricing is based purely on the financing and you (as opposed to  the factoring company) retain the ultimate credit risk

​MODIFIED RESOURCE FACTORING

  The factoring company carries credit insurance on the customer, which offers protection to you if your customer is unable to pay the   invoice due to financial failure or bankruptcy

  If the customer refuses to pay the invoice from a dispute over quality, delivery, or specifications, the factoring company still has recourse back to you

  Modified recourse factoring fees are higher than for recourse factoring as the factoring company is assuming increased risk

​NON-RESOURCE  FACTORING

  The risk of insolvency and non-payment is completely transferred to the factoring company

​  if your customer goes bankrupt or refuses to pay the invoice (for whatever reason), the factoring company cannot come back to the you for payment (expect in the case of gross negligence or willful fraud)

  If your customer goes bankrupt or refuses to pay the invoice (for whatever reason), the factoring company cannot come back to the you for payment (expect in the case of gross negligence or willful fraud)

  Non-recourse factoring fees are higher than recourse factoring fees as well as modified recourse factoring fees as the factoring company is assuming greater risk​

    BESPOKE FACTORING SOLUTION

    Certain customers require customized solutions that can be tailored to specific needs, including customization of

      Pricing

      Advance rates

      Term

      Structure

      Branding

      Lockbox location 

    Inventory

      Inventory financing can be a solution for business that maintain high levels of inventory but are short on cash

      Inventory allows a business to leverage existing inventory turning it into cash to buy more inventory or pay suppliers

    ​​  Benefits of inventory financing

      More cash on hand

    ​​  Leverage third party fullfillment and logistics expertise

    TARGET  CLIENTS

      Companies that deal in hard goods, not services

      Startups, Turnarounds, Bank Exiting and Non or Under-Bankable Relations

    ​​​  Fast growing clients with sales of $75,000 - $3,000,000 per month

    ​​  All industries

    ​Purchase Order Financing

      Unlike factoring which accelerates the cash from your invoices, purchase order financing can give a business the ability to have goods available  for clients from sources before an invoice in generated

      If your business is an product importer, jobber, reseller or distributor, and needs capital to deliver a large purchase order, then purchase order funding can be a solution to fuel your business, deliver your orders, and grow your business

    ​​​  Purchase order financing is a funding option for business that need cash to fill single or multiple customer orders

    With many businesses cash flow problems exists and there will be times where there is simply not enough money available to cover the costs of doing business

      As a result, there may be an order from a client that isn't able to be fulfilled due to a lack of cash. A company may not be able to afford the supplies necessary to meet the client's particular needs.

    ​​  Having to turn the order down would obviously mean a loss of revenue and perhaps even a tarnished reputation

    BENEFITS OF PURCHASE ORDER FINANCING

      Not a loan

    ​​​  Pay suppliers or gives them payment or vendor guarantees

      Allows your business to take on bigger orders

      Can include accounts receivable management

      Leverage third party fulfillment and logistics expertise

      Credit protection against bankrupt through non-recourse factoring

    TARGET CLIENTS

      Startups, Turnarounds, Bank exiting, and non or under- bankable relationships

      Fast growing client with sales of $30,000-$10,000,000 per month

      All industries​​