Many businesses have issues balancing their cash flow. In industries where you have to wait one or two months for your customers to pay, it’s all too easy to run out of working capital and still need to purchase more inventory. Manufacturers often have the same issue, running into difficulties keeping raw materials levels high enough to meet production goals. Purchase order financing may be the solution you’ve been waiting for.

Taking Care of Larger Orders

With the freedom of PO financing, you never have to turn down business because of a lack of capital. Even small resellers can serve large chains when they have the power of purchase order finance programs behind them. Any order, and any size, is just fine when you have an endless source of funds. In turn, greater sales give you more profits that help stabilize your cash flow.

Expanding Your Business to New Locations

If you’re thinking of opening a second location, one of the first things you may wonder is where to get enough capital to purchase all the inventory you’re going to need to begin. With PO financing, that’s not a problem. You can handle things on a per order basis for a while. After you’ve built up your new location’s profits, then you can start stocking larger amounts of inventory if you want.

Simplifying Business Management

Not all business owners want the hassle of balancing inventory levels. Making mistakes can be costly in both directions: ordering too many products that don’t sell costs you, and so does not having enough of popular items. Wouldn’t it be nice if there were a way to avoid this issue completely? That’s one of the benefits of purchase order financing. You never have too much or too little inventory for orders.

Increasing Customer Satisfaction

Falling behind on orders is a common problem, and unfortunately it’s one that can negatively affect your business’s reputation. Clients don’t like having to wait for orders, and they don’t like dealing with backordered items either. With PO financing, those things don’t happen. Your clients get their complete order on time, straight from your supplier to their office. When your customers know they can count on you for complete orders, every time, it’s more likely for them to order most of their products from you.

All of these benefits can help your company have a better, healthier cash flow. That’s a good thing, no matter what goals you have in mind.