What is purchase order finance?
Purchase order finance funds the purchase of finished goods against firm customer orders. International finance companies provide up to 80% of the invoice value against confirmed sales or one-off sales to individual customers, before either paying the supplier immediately or issuing a letter of credit.
What are the benefits of purchase order finance?
- Purchase order finance allows your suppliers to be paid early, giving them the finances necessary to complete the deal on time and to the standards you expect.
- You may be able to negotiate early payment discounts with your suppliers.
- There is potential to attract other suppliers who may offer competitive rates through purchase order finance.
- Your working capital will be sustained, providing the cash to grow your business.
- Purchase order finance can be used to support both domestic and international transactions.
Is purchase order finance right for my business?
Deciding on the most suitable international finance solution for your business can be challenging. Hilton-Baird Financial Solutions has more than 13 years’ experience in identifying the tailored funding solutions to SMEs as the UK’s leading invoice finance broker, and we could find the funder that is right for you.
To find out more about purchase order finance, call our team on 0800 9774833 or email info@hiltonbaird.co.uk. Alternatively, get an invoice finance quote.
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