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Factoring / Purchase order financing
What type of product is it?
This product is presented as an alternative to line of credit. Essentially, it involves selling or insuring a portion of your accounts receivable to reduce the payment cycle. In other words, it gives you the opportunity to rapidly transform your accounts receivable into cash to avoid a shortage of funds. This type of financing is aimed at fast-growing companies in need of additional liquidity.
What are the special features of this financial product?
- To qualify for a help of this nature, the borrower must sell his accounts receivable to a lender who will, in return, give him a certain percentage of their value.
- This type of financing is profitable because it frees up substantial funds quickly.
- It is not mandatory to notify your customers in this type of transaction. They may or may not be informed (silent or not) that their accounts payable have been sold.
What are the advantages of factoring / purchase order financing?
- One of the significant advantages of this product is that it provides rapid access to additional liquidity.
In addition to helping you answer your questions, our experts at SADC can help you truly analyze your situation. What's more, an analysis of your long-term needs and the determination of an appropriate strategy The right financial solutions for your company could be developed at the same time.
See the list of different needs on the right. This financial product specifically meets the following needs:
Don't hesitate to apply to SADC for financing. We'll help you think through and implement your project. project.
YOU WISH...
- Acquiring, merging or taking over a company
- Improve your working capital / Growth
- Starting a business
- Developing a residential / commercial project
- Acquiring equipment
- Export your products or services
- Financing your tax credits
- Buying commercial/industrial property
- Turn around the financial situation
- Take equity out of your business
- Robotize / Automate / Improve IT
- Financing a startup
- Improve your company's environmental performance
- Carrying out a group project
- Strategic planning for your company's development