Purchase order funding has become a popular way to finance a company that has received a large purchase order from a customer. This is one step before the invoice is generated. A purchase order loan bridges the gap between order and payment and has the advantage of being faster and easier to obtain than a traditional bank loan.
A purchase order loan is based on the creditworthiness of your buyer (customer) and your business, with the purpose to:
Primarily this product is for organizations who are on a growth trajectory and require new equipment to increase their capacity and improve efficiencies. The client will be able to use the debt to purchase and ownership would be transferred once all payments have been made.
Working capital finance is a facility that is taken out to address the short-term operational needs of a business, which include, but are not limited to, salaries, rent and debt repayments. The facility assists in closing one cash-flow gap due to late payments from clients, or other extraordinary events.
Identification, Bank Statements (6 months), Proof of Residence, CIPC Certificate, Offtake Agreement, B-BBEE Status, Tax Clearance, Purchase Orders.
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