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10-01-2015, 10:57 AM #1Member
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P.O. Financing
I have a client that needs to "finance" some P.O.'s he has in place.
Here's the deal:
If he buys the product he is shipping monthly, it will cost him a total of $176,000. If he buys all of the product up front, he can save $22,000. So if someone can advance him $154,000, he will pay you monthly for one year, as the P.O.'s ship.
The catch is, if the advance costs him more than $22,000, he may as well just pay for the product monthly.Last edited by Mike Z; 10-01-2015 at 11:23 AM.
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10-01-2015, 11:37 AM #2Noob
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My name is Michael Nunez, VP of Fortress Merchant Solutions in Long Island NY. I'm interested in working with you. We're an in-house lender, but I also work with funders such as ON DECK, GBR, BFS, CAN CAPITAL, and 13 other lenders.
Can you send me the specifics about your client's business?
mike.j.n@hotmail.es
Thanks
-MN
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10-01-2015, 11:57 AM #3Senior Member
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personal email? Hmmmm....
Originally Posted by Michael Nunez
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10-01-2015, 01:09 PM #4Senior Member
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peace and love...
Last edited by TheShitzuofMCA; 10-01-2015 at 04:14 PM.
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10-01-2015, 04:40 PM #5Banned
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PO Financing
Mike- the client will not qualify for classic PO funding unless he only finances the goods that are immediately shipped out. Even that may become questionable since PO Lenders really want the goods drop shipped from the supplier. Originally Posted by Mike Z
The collateral for the transaction becomes the account receivable generated to their customer not the goods themselves. The last thing a lender wants is to have to recover their loan using the collateral.
If they are willing to try the more traditional approach we could help you and in a phone call from you I can tell you if we will fund it. I hope this explains the nature of PO funding a bit.
Bob Shaw
rshaw@millenniumfundingusa.com
rshaw@advancecredit.com
734.929.3800
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