Stock Finance

How to pay your suppliers early, improve cash flow and potentially increase profits.

There are many cash flow solutions available to UK businesses, each with its own pros and cons, but very few share the characteristics of our stock finance service which can offer:

• Fast access to cash flow for whatever purpose it is needed.
• A low cost and easy to understand charging structure.
• The flexibility to grow with your business.
• Increased profits.
• No need to use your own cash flow to fund stock purchases.

These benefits are achieved by purchasing your supplies via our stock finance solution. Taking a business that normally pays on 60 days as an example, the time line diagram below shows when transactions relating to purchases could take place.
 

Many of our clients have found that their profits can be significantly increased due to being able to negotiate discounts from their suppliers as a result of them being paid much earlier then normal.

Our stock finance service is extremely cost effective. This is because it comes without arrangement fees, monthly charges or transaction costs – just an agreed price for the goods that is based on paying on up to 120 day terms, with straight line discounts available for earlier settlement. No personal guarantees, asset charges, etc. are required what so ever.

For more information about stock finance, call us today on 0845 838 0936 or email us.

Qualifying Criteria

A typical client has the following minimum profile:
 

Established	3 Years or more
Annual Turnover	Over £3m
Annual Purchasing volume	Over £250k
Typical transaction size	Over £20k
Net Profit before tax	Over £50k
Balance sheet / net worth	Over £50k
Number of employees	Over 10

The nature of our clients’ purchases and their business activity is also important. For example, any class of 'perishable' is unsuitable.

As you can imagine, this arrangement has the potential to free-up significant amounts of cash flow – which you are free to use for whatever your business needs.

Frequently Asked Questions about Stock Finance

Will you be able to work with my business?

There are certain sectors and transaction types which we won’t get involved in, but those aside we work with most businesses that are both well-established and credit worthy. We are particularly interested if suppliers will grant an early payment discount.

In my industry, it is not normal for suppliers to offer early payment discounts, can Stock Finance still help me?

Yes, of course. The resulting cash flow benefits are the same, but the lack of a discount means it is not quite so cost effective.

Can I use Stock Finance to purchase imports?

Yes, a number of suppliers we deal with are based abroad, and we can structure transactions in most internationally traded currencies.

How much does it cost?

Our selling price is based upon purchase price plus a small margin for offering up to 120 day payment terms.

For more information about stock finance, call us today on 0845 838 0936 or email us.