Purchase Order Financing – A Great Way To Grow A Small Business

I wanted to grow my distributor network but didn’t know how! Let me rephrase that - I knew what I had to do, but I didn't have the money for it. I had been speaking to several large stores and had convinced them to stock our products (I import and distribute an exclusive range of candy and health drinks) – it was a big win for my sales team. But we were stumped as our funding application to the bank was turned down, and we just didn't have the capital to order the additional inventory and cover the initial expenses.

Of course, I instantly turned to alternative financing companies, and some research brought me to purchase order financing deals with a New York located lender called Cresthill Capital. It turned out to be precisely the right funding option for my distributorship.

What is Purchase order financing?

This is when you get a cash advanced against a purchase order to finance your manufacturing or business operations. In many cases, your lender works directly with your supplier to pay the amount to them and raises an invoice to your buyer for the full amount. The lender collects the payment, and the balance is paid to you after deducting the applicable fees and the cost of funding. The details and terms of the deal can differ depending on the lender.

How PO financing helped my business grow?

I was running in circles looking for capital to put down a payment for extra inventory to service my new clients. It was a huge opportunity for me to expand into new states, and I could only make it work with some help from Crest Hill Capital.

They were fast – even though PO financing usually takes some time compared to other alt-fin offers such as a merchant cash advance, it was still super quick compared to any lending offer from a bank! I have no Crest Hill Capital complaints when it comes to speed – they were ready to wire the money just 2 business days after my supplier sent their quotation and filled in the paperwork. Throughout this time, their team worked proactively with us all to expedite the process, handle the paperwork, and keep terms clear.

It allowed me to meet larger customer demands – Naturally, opening up new clients allowed me to take my business to the next level. To make that leap, I needed that initial credit push. With this help from Cresthill Capital, I started the loop of larger revenue and more significant profits, and now that the money is circulating in the company I can go it alone and keep up the growth momentum.

I received substantial funding without a stellar credit score – The beauty of PO financing is that you don’t even need a good credit score or perfect financials. The creditworthiness of the company placing the order matters more! We have to show that we have the capability to fulfill the order – which in our case was never in doubt due to the strength of our supply chain. Because PO financing is low risk (for both lenders and clients), it comes at very good rates and terms.

Does my situation sound familiar? Are you in the same boat? Yes? Then it is time to dial up Cresthill Capital and enquire about a Purchase Order financing offer. For companies on an upward growth trajectory, struggling to find the cash to grow – they provide fantastic funding offers to meet the business's specific needs.

What It Means To Be Hours Away From Funding! How Easy And Quick Financing Changed My Business And My Life.

It is impossible to explain the significance of fast funding to anyone who hasn't experienced the desperation of needing money and not finding it! As a business owner, it is painful to see sureshot business opportunities slipping away and your business losing ground – just because you couldn’t pump in liquidity on time.

Over the years, I have experienced all sorts of cash crisis – short-term cash flow issues to devastating seasonal business changes and everything in the middle. At each stage, having access to credit would have made my life simpler, and my business stronger, but the credit system isn't designed to help small businesses in need. The banks are too scared to lend to struggling small businesses!

However, alternative lending companies are braver and more willing to help SMEs. When I approached Crest Hill Capital (a New york established alt-lender) last summer, it was just to get hold of money quickly. I have experienced the slow-moving approval process of banks many times in the past and knew that with my low credit score, the chance of actually qualifying was slim. It made no sense to waste more time and effort in the traditional financial services industry, so I headed off to try my luck with alternative financing. My experience with Crest Hill Capital totally changed the way I do business!

It Changed My Mindset

Having access to money – almost instantly – had the biggest impact on my approach to business. Unsure of where the money would come from had made me a cautious businesswoman. I thought small and tried to make my business dreams safe. Having quick and easy funding changed the way I took risks. With money to fall back on and fund ambitious plans, I now reach for bigger deals and am more willing to try out more offbeat ideas.

Gave My Business Room To Breathe And Grow

Off the top of my head, I can easily think for at least half a dozen instances where I missed out on good money-making deals because I didn't have the cash to invest in an opportunity. All these missed opportunities stunted my business. With quick financing from Crest Hill Capital, I have seen my business expand quickly. I no longer have to wait on the sidelines, looking at prospective profitable ventures slide off and disappear.

Invest In Long-Term Growth

With backing from Cresthill Capital, I am now able to lay the foundation of long term business growth. I have been toying with several expansion ideas and now can slowly start investing and pushing my business towards long-lasting profitability and stability. Cresthill Capital gave me no chance for complaints – I have used their funding deals to improve my marketing outreach, added a new product line, and hired two new employees. A year ago, all this had seemed impossible!

The Bottom Line

Alternative lenders like Cresthill Capital fund businesses in just a couple of days, and they also give credit to companies with low FICO scores or to relatively new firms! There is no way I would have found the money I needed anywhere in the traditional financial market – at least certainly not without collateral. So I am incredibly pleased to find a reputable financial partner!

Like I said in the beginning, one has to experience being cut-off from credit to really appreciate fast funding. I have engaged with Crest Hill for only a year, and just knowing that credit is available has changed the way I approach my business!