What is inventory financing?

Inventory financing is a form of asset-based lending

that allows businesses to use inventory as collateral to

obtain a revolving line of credit. This line of credit can

be used to purchase additional inventory or to help a

business get through seasonal fluctuations in cash

flow, among other situations.

Who should use inventory financing?

This financial product can be used by different types of

businesses, including:

Small- to medium-sized retailers: One type of

business that traditionally depends on inventory

financing is retailers. While larger companies, such as

Wal-Mart and Target, have larger institutional banks

to borrow from and often have easier access to this

form of asset-based lending, smaller businesses

could benefit greatly from the same type of financing,

but from an alternative source providing similar lines.

Some of these companies generally don’t have the

available capital or financial history to obtain a loan

from a bank or might struggle during seasonal

slowdowns, which is why the services of Crossroads

Financial should be utilized.

Small- to medium-sized wholesalers: Another

type of business that could benefit from inventory

financing is wholesalers. Companies of this size

might have a warehouse full of goods ready to ship

over the coming months, but don’t have any

resources available for the next production cycle, and

for similar reasons have been turned down by a bank.

In this situation, a revolving line of credit comes in

handy.

How can inventory financing benefit a small

business? Retailers and wholesalers alike can

experience many benefits, including:

1. Help keep shelves stocked

2. Provide financing when a bank says “No”

3. Assistance when periods of lagging cash flow

Our Working Method

We love working with businesses that carry inventory.

We know that your sales cycles may range from 30

days to 90 days.

We evaluate your sales cycle

We evaluate your margins

We evaluate your ROI

We evaluate the Cost of Capital

Before we issue you financing we want to make sure

that you will make money with our money.

Terms and Programs

Repayment terms can range from 3 months to 18

months. Most businesses seek 6 months to 12 months

repayment terms. In addition, we can provide on-going

capital and you can access capital on-going to

purchase inventory.

Our Process is Simple, Fast and Easy

A 1 page application and we evaluate 4 months of

bank statements to analyze cash flow. In some cases,

we may request an inventory list and the value of the

inventory.

TO GET STARTED CALL: 888-505-5835

WRITE: CONTACT@LENDINERO.COM