How to Get a Huge Trade Advance?

Proven Track Record

Providing a financial track record or records reflecting cash flowing in and out of your business.

Show them that you’ve done what you want the financier to do before, so either been in the industry and got a lot of experience from it or you’ve been in your own business and been doing it for a while as well.

Stability

Show profit and supply is under control and minimal issues with the tax office and proof you’re not going out of business

Credit History

Making sure we can give you a larger advance as most businesses use insurance to clear this but often requires a larger advance. Sometimes more collateral is needed.

Another thing to consider is extra additional collateral as well.

Build up a Track Record

Ideally, you will start small in terms of borrowing and then over time increase the amount of credit as you prove that the cash flow is assisting their business.

Debtors Happy to Communicate

Often we want to audit or essentially confirm there is an actual order in place with the customer.

A lot of the time, where there’s a purchase order presented to us for funding, we’ll want to go to the customer who ordered that purchase order and confirm that there is a real order in place.

If the debtor or the customer at the end, who is placing the order is not willing to talk to us or work with you as the client, then that can be a big problem and us being very hesitant to release a lot of funds against a purchase order.

If you haven’t checked our article last week as to how to get your Purchase Order facility approved. Check it out HERE!

AR Cash Flow offer purchase order financing at competitive rates and can work in most industries in Australia and overseas

Need help fulfilling large sales orders? Ask AR Cash Flow.