Purchase Order Funding

PROBLEM:
Manufacturer/Distributor successfully markets product and receives orders, but the orders are either too large or there are too many to accommodate. Better cash flow is required to increase output, but buyers won't make payments until 30-60 days after receiving their goods.

SOLUTION:
Friend Capital Funding offers Purchase Order Financing (P.O. Financing) by paying for the cost of goods directly to the supplier on behalf of the manufacturer/distributor, freeing cash for other operation expenses.

WHAT IS P.O. FINANCING?
P.O. financing is a method of lending that increases cash flow by temporarily eliminating the cost of goods.

WHO NEEDS P.O. FINANCING?
Manufacturers and Domestic Distributors need P.O. Financing. During times of growth and expansion, cash flow becomes insufficient. Suppliers want you to pay COD, and Buyers want to pay you Net 30-60. This means there is no incoming cash during manufacturing, while the goods are in transit, and until the invoices have matured (up to 90 days).

WHEN SHOULD YOU APPLY FOR P.O. FINANCING?
Three steps should be completed before you apply for P.O. Financing:

1. Get a purchase order from a strong customer.
2. Find a reliable supplier.
3. Make an order to the supplier.

WHY SHOULD YOU APPLY WITH FRIEND CAPITAL FUNDING?
Friend Capital Funding frees your cash, so you can be more flexible with your business' operating expenses. Banks do not offer these types of services and Friend Capital Funding is more flexible than any bank.