416 644-6444
1 855 614-6444

BridgingFactor Purchase Order Financing

Purchase Order Financing

What is Purchase Order Financing (PO Financing)?

Purchase order financing is when a lender provides payment to the supplier, so that the borrower can fulfill the order from their customer. Assuming the goods are pre-sold to the customer, this method is ideal for any business that sells finished goods.

Assume your business is running smoothly and you have a steady base of creditworthy customers. Suddenly, the demand for your product(s) increases through more and/or larger orders. You request an increase in your Line of Credit, but your bank is unable to accommodate your needs. What can you do? Purchase Order Financing may be your solution! BridgingFactor’s business lending programs provide funds for finished goods, based upon valid purchase orders from your creditworthy customers. This enables you to complete a deal with virtually no out of pocket expense, and offers you the potential to increase the size and number of your orders.

How Does Purchase Order Financing Work?

Unlike traditional lenders, BridgingFactor views your purchase order as a contract for future business. The purchase order becomes your asset to secure financing to pay your suppliers. Given BridgingFactor pays your supplier and collects payment of the invoice from your customer, fees are only collected once the transactionis complete, so you complete each deal with virtually no out of pocket expense. Our process is simple:

BridgingFactor Purchase Order Financing

Who Qualifies for Purchase Order Financing?

Purchase Order Financing is ideal for wholesalers, resellers, distributors and similar businesses that purchase completed product from suppliers to resell at a mark-up. Obtaining Purchase Order Financing is easy because it’s based on your customer’s credit worthiness, not yours. Please contact us for complete details.