What is it
Revolving Stock Finance is designed to help businesses who purchase stock of raw materials or finished products. Revolving Stock Finance, (also sometimes known as Revolving Stock Purchase Finance), is ideal to accelerate profitable growth and maximise stock levels in your business without the worry of quick repayments on the horizon.
We will pay your supplier’s invoice for you and the goods can then be shipped directly to your warehouse/premises, where you will be able to apply any finishing touches. Or even sell them on straight away, depending on how your business operates. You then have 90 days to repay each transaction we have funded, giving you enough time to generate the cash through your normal business cycle.
How it works
You will have 90 days from the day we pay your supplier to repay the value of the stock finance provided giving you a predictable cash flow plan.
With Revolving Stock Finance there is no long-term contract with the burden of minimum monthly or annual fees. You just use the account when you wish and pay for each transaction one at a time.
The stock finance facility is taken as unsecured, with no charges or debentures required and therefore does not impact borrowing from other lenders. However, we do hold a title on the goods being purchased as a way of securing the finance being given.
The payment is made by Working Capital Partners to your supplier once an agreement is in place and delivery/shipment is arranged by you in the normal course of business to your requested location.
After you’ve received the goods, you are free to move, sell or adjust the products as you see fit to have them ready for purchase for your customers.
You have 90 days from the day we pay your supplier to repay the advanced amount, in the meantime we will hold a title on the goods being purchased as a way of securing the stock finance being given.
Once the advance has been repaid at the end of the 90-day period, you can then start the whole process again, hence the name Revolving Stock Finance!
When your account is opened, we will agree a charging structure for you and you just pay a simple flat fee for each transaction which is clear and easy to understand with no hidden charges.
This is a perfect opportunity to negotiate early payment settlement from suppliers and is really useful for seasonal buying.