Thursday, June 27, 2013

Inventory Loans



Inventory financing is a bank line of credit secured by the company’s inventory as collateral.

With inventory financing, the borrower receives a loan in order to purchase inventory. The purchased inventory is then used as collateral against the loan. This is a great finance option for business owners as it provides the inventory that a business needs
without tying up cash, receivables, or credit cards. This type of financing can help to free up some of the cash you have tied up in inventory for more pressing needs or investments.

Inventory loans are perfect for businesses who enjoy a high inventory turnover rate but are short of the cash  needed to replenish their supply.

Lenders will typically need to see that you have a proven sales history to approve you.. And they will require you to possess tangible inventory. Lenders will want to see that you have a proper inventory management system  in place which provides accurate and  timely information on your inventory size and cost.

Most lenders will also require sales orders to verify you are actually selling.

Inventory Financing is one of over 30 core funding products available to you through your customized Business Finance Suite.


Expert Credit Consultants, LLC specializes in establishing business credit and funding using our exclusive Business Credit and Financing Suite as well as consumer credit restoration and optimization. www.ExpertCreditConsultants.com.

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