Get the Details About Purchase Order Financing

Purchase order financing is an excellent tool for business owners looking to expand, even when a traditional loan is out of the question. At Anderson Commercial Capital, we can answer all of your questions and help you choose the right financing program.

Who Uses Purchase Order Financing?

Generally speaking, companies that distribute products, resell finished goods, or provide wholesale items to other businesses are the ones that can make the best use of PO financing. Manufacturers can benefit as well from our work-in-progress financing.

The reason this financing program is so helpful is that it enables your business to complete orders even when you lack the capital to do so normally. This can happen because inventory prices go up, customers request urgent orders or you’re just starting in the business.

How Does PO Financing Work?

Traditional financing involves giving your business a loan, which you use to buy inventory and later make payments on. Purchase order financing can help you reach the same objective without needing the credit score necessary for loans. It involves sending funds directly to your suppliers in return for a small percentage of the order’s value.

To learn more about the benefits of PO financing, contact us today.