Benefits of PO Financing |

By financing your purchase orders, your company can:

 

1. Fund Inventory Purchases

Buy inventory without prior capital by financing purchase orders
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2. Double Your Inventory Turnover

EHB Capital’s research, available upon request, has validated that the inventory turn will double
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3. Capture Additional Capital

Finance capital expenditures or pay short- term liabilities 
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4. Stabilize Cash Flow

Create more predictable payments and forecast more effectively

 

 

In comparison to borrowing from traditional banks, purchase order financing provides the following added value:

 

1. Less Time Consuming

Less time spent on Underwriting Process, Individual Withdrawals, and Preparation of Bank- requested Reports
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2. Fewer Incremental Costs

No Origination Costs, Closing Costs, Attorney Fees, or Audit Fees
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3. Fewer Collateral Requirements

Bank Loans normally require Over-Collateralization of Company Assets
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4. Less Restrictive Covenants

No Debt Service Coverage, Capital Raising Limitations, or Restricted Use of Funding