Purchase Finance – Invoices paid on your terms – Spread over 3,6,9 or 12 months
Introduction: In the world of business, the old adage “you need money to make money” holds true, especially when it comes to buying essential goods and stocks for your business. Let us help to Spread Your Purchase Invoice Costs.
Whether you’re a startup looking to scale or an established business aiming for expansion, securing the necessary finance to buy stock and materials is a critical aspect of sustained growth.
In this blog post, we’ll explore various financing options and strategies that businesses can leverage to ensure seamless cashflow for their operations.
What Finance Options are Available?
Traditional Financing Routes:
- Bank Loans: Firstly traditional bank loans remain a viable option for businesses with a solid credit history. Interest rates and terms vary. We can help you find the right lender which aligns with your financial capabilities.
- Overdrafts: Secondly an overdraft can provide the businesses with the flexibility to borrow funds as needed, making it an ideal option for managing fluctuating material needs. Interest is only incurred on the amount borrowed, offering financial agility.
- Trade Credit: Thirdly negotiating favorable payment terms with suppliers can essentially act as interest-free financing. Extending payment periods or negotiating trade credit terms allows businesses to use materials before payment is due.
Alternative Financing Options:
- Invoice Financing: Businesses with outstanding receivables can use invoice financing to access immediate cash. Lenders advance a percentage of the invoice amount, enabling companies to procure materials without waiting for customer payments.
- Merchant Cash Advances. Particularly suitable for businesses with regular credit card sales. Merchant cash advances provide upfront capital in exchange for a percentage of future credit card sales. While more expensive, they offer quick access to funds.
- Buy Now Pay Later Lenders. This option allows your business to spread the costs of the purchase over 3,6,9, or 12 months. This can help with cashflow and can be repaid once the goods or stock has been sold. It can be repeated as often as needed. It helps retain important cashflow in the business.
Conclusion: Financing stock and goods is a crucial element of business growth and sustainability.
By carefully assessing your needs we can explore various financing options to meet your requirements. As a FCA Authorised Commercial Broker we have built strong relationships with many lenders who can assist your business.
Get in touch via the form below to see how we can help your business.
Spread Your Purchase Invoice Costs