Regardless of how big or small your business is, if you sell products you need inventory. Finding inventory financing however is not always easy. Many business owners struggle with cash-flow issues that make it challenging for them to free up cash in order to have inventory on hand. The good news is, with just your last 3 months business bank statements, you may be able to qualify for your inventory finance and working capital needs.
How working capital loans for inventory finance works
In order to secure inventory financing with your cash receipts, Brickhouse Capital, a direct lender takes a look at your overall cash flow based on prior sales history. They will then have you fill out a simple application and advise you how much money you are eligible to borrow. Repayment is simple: Brickhouse Capital takes withdrawals based on your actual sales on a daily basis. The entire process is automatic and the benefits are clear:
- Direct lender – there is no middle-man between you and the company loaning you money.
- Meet your inventory finance needs – because the money comes from your projected sales, it is easy to meet your inventory needs.
- Short turn-around time – in most cases, applications are approved in as little as two or three days and you have money available in a week or less.
- Easy renewal options – if you pay your loans back as agreed, subsequent loans are easy to obtain with far less paperwork than the original loan.
- Builds business credit – this program is ideal for small businesses who do not have substantial credit but have solid cash flow. Over time, your business credit gets built up as you repay your loan.
The importance of inventory and your business
Business owners are not able to sell products they do not have on hand. Whether your business sells clothing, food or electronics, if you do not have the products on hand, your customers cannot purchase from you. Too often, small business owners are not eligible for bank loans, they have used much of their own savings to start their business and they may lose sales to their competition if they do not have a way to obtain financing to ensure they have sufficient inventory on hand. Fortunately, we can help businesses meet their inventory finance needs based on prior sales.
Loan eligibility requirements
One concern most borrowers have is how much paperwork they will need in order to get their business loan approved. at Brickhouse Capital, we try to keep paperwork to a minimum. For loans under $250,000 we have a simple, one-page application and we do not require you to provide tax returns – only your last 3 months business bank statements. Loan terms are available from six to eighteen months and if you need to renew your loan, you can expect quick turn-around time and an easier underwriting process.
All businesses have inventory finance needs and we’re here to help. Whether you are considering stocking your shelves for a special sale, need to meet your monthly sales inventory needs or you merely need a short-term loan to help you over a seasonal slump, the direct lenders at Brickstone Capital can help. We are able to be far more flexible in our approach to your lending needs because we make all the decisions based on your company’s individual needs.