Trade, procurement and inventory financing
A sudden change in market conditions and a shift to “”Fortress Australia”” thinking is resulting in a surge in domestic production to meet demand. Australian producers are struggling to keep pace with demand. As consumers switch to local produce and Australian made products, domestic production and procurement have skyrocketed. This surge in demand is creating […]
Despite the abundant liquidity in business financing, Purchase order finance remains an excellent tool for startups, growing companies with unexpected capital demands and those in a turnaround. PO funders rapidly employ 100% of the transaction working capital and operate as a cash-flow creation tool for companies that produce, buy, assemble and sell products. Often closely […]
Purchase order finance or pre-delivery financing has continually evolved to meet the individual customer needs in this ever-changing business world. The term purchase order finance is well known to many people, but many still do not understand the depth and value of PO finance solutions. Leigh Dunsford, Stak Even though purchase order finance has evolved […]
Unless a company is “bankable”, it is challenging to find manufacturing or production financing to fund working capital during the pre-invoicing stage of production. What is WIP? Work in process (WIP) is the part of the inventory that is being “worked on” or has an aspect of “conversion” and is yet in the production process. […]
Production purchase order financing is a financing tool used by domestic manufacturers or assemblers. It’s used to procure the necessary components and/or raw materials to “make” or “build” a finished product either in their own facility or using sub-contractors. This differs from traditional Purchase Order Financing: The borrower is outsourcing manufacturing of the product. Some […]
