My Working Capital

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Don't Rob The Piggy Bank! Supplier Finance Can Fix Your Cash Flow Issues

Man contemplates breaking into a piggy bank

If  you are looking for a reliable and effective way to improve your cash flow here’s where to start.

Many business owners find Supplier Finance allows them to create  much better outcomes than they would  using traditional business loans.  

The reason?  It’s flexible design.

Supplier Finance grows with your business ensuring you always have access to working capital.  It gives you breathing space because the finance company pays your suppliers on your behalf.  You return the funds when you have money in the bank – after your customers have paid.

It begins with  an off-balance sheet, revolving credit limit which works like this:

  • Your provider uses funds from your approved credit limit to pay some (or all) of your  suppliers’  invoices – it’s up to you how many and when.  
  • You have up to 150 days to replenish  the account.
  • As the account is topped up the funds are rolled over to pay more invoices.

It doesn’t get any more complicated!   The process is managed by you through an online platform.

You can reduce your borrowing costs by offering suppliers early payments in exchange for discounts.    If you  meet the criteria, your facility can also be secured by trade credit insurance.

Supplier Finance  has many benefits

  • Funds are always available to pay suppliers
  • You can preserve your own funds to invest in growth
  • Your facility grows alongside your business
  • Your supply chain remains in good health
  • You earn massive brownie points from suppliers because of early or timely payments
  • You can use your account to pay overseas suppliers – including  pre-shipment payments and deposits.
  • You avoid the tedious process of raising letters of credit for overseas purchases.
  • No real estate security is required if your balance sheet is strong enough.

Complete the contact form below if you would like us to contact you.  If you want to discuss it now call Paul on 0411 535 096

Call us on 1300 430 076 or send a message.