Stock Finance
Do you need to hold a level of stock for your business to cover future orders or sales? Does this give rise to cash flow problems?
Stock Finance is a form of Asset Based Lending that is secured against your company’s stock. The Stock can be in the form of Raw Materials and Finished Goods. Positive Invoice Finance can help provide a Stock Finance Facility in conjunction with a Invoice Discounting or Factoring Facility to form a comprehensive Asset Based lending facility.
Positive Invoice Finance can help arrange, in conjunction with a factoring or invoice discounting facility, a stock finance facility for you and your company.
Various Factoring and Invoice Discounting Providers have introduced Stock Finance as they are committed to ensuring you their clients ahead by maximising their working capital assets.
KEY FEATURES AND BENEFITS
Possible funding up to 60% of eligible stock
A revolving facility suitable for medium term funding requirements
Fully flexible – you decide how much and when you wish to draw down funds
Releases cash normally unavailable for working capital requirements
Runs alongside existing receivables finance facilities
Stock Finance is a new product offering which is designed to complement either new or existing receivables facilities.
Please note that Stock Finance is not currently available as a stand-alone product.
This product will be ideally suited to customers looking to raise additional funds to maximise working capital, ensuring their business stays ahead. Flexible funding, tailored to individual needs Facilities are tailored to meet the needs of each individual business.
The amount of cash advanced is typically up to 60% of the value of eligible stock.
Stock Finance releases cash tied up in your stock by means of a revolving credit facility.
Suitable for a wide range of businesses
This service is most appropriate for businesses in the commodity, manufacturing and wholesale/distribution sectors with turnover in excess of £5m.
You retain full responsibility for maintaining your stock control systems and procedures with electronic reporting to The Factoring and Invoice Discounting Provider.
FAQs
How much does it cost?
Our services are tailored to your own unique requirements, so our fees will depend upon your specific business needs.
How much can I borrow?
You an borrow up to 60% of the value of your stock
What types of stock can I fund?
You can fund both Raw Materials and Finished Goods
More FAQs
Case Studies
Home Furniture Importer – The Factoring and Invoice Discounting provider was approached to fund the Management Buy-Out of a home furniture importer and wholesaler, and provide ongoing working capital.
The Factoring and Invoice Discounting Provider provided a stock finance facility to release cash against existing stock holdings at 50%, a trade finance line to import both pre-sold and stock requirements and an invoice finance facility to collect funds from onward sale of stock.
The deal was completed within two weeks.
More Case Studies
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