Purchase order financing is a vital tool for businesses aiming to grow without being limited by cash flow. Whether facing seasonal demand spikes or taking on larger projects, PO financing provides up to 100% of the funds needed to fulfill orders, allowing you to focus on delivering quality products. When you receive a purchase order, it acts as a promise to pay after delivery.
PO financing is particularly beneficial for businesses in industries where large, upfront costs are common, such as manufacturers, distributors, retail and apparel, importers/exporters, and contractors (Electricians, Painters, HVAC, etc.)
Apply NowCreditworthy Customers:Your customers must have a strong credit history and reliable payment track record. Financing relies on their creditworthiness.
Valid Purchase Orders: You need confirmed purchase orders from reputable buyers for finished goods.
Profit Margins: A profit margin of at least 20-30% on the goods or services being financed is typically required.
Established Supplier Relationships: Reliable suppliers or manufacturers who can fulfill the orders on time are essential.