Supply Chain Finance Scenario – Manufacturer Finance through Invoice Factoring
In the following factoring scenario you’ll see how invoice factoring helps a manufacturer who wants to grow their business.
The Wonderful Widget manufacturing company wants to expand from regional to national distribution. To do this, they need to produce a significantly higher number of wonderful widgets and establish a nation-wide network of distributors for their widgets – all in a short period of time.
To help them attract the best distributors in various regions, they want to extend favorable payment terms so that distributors can stock more of their wonderful widgets.
They can only accomplish their goal if they can get access to the money currently owed them by their current customers. So they factor these unpaid invoices and gain access to working capital immediately.
Capital in hand, the Wonderful Widget Manufacturing Company can obtain the raw materials needed to produce the inventory for supplying both new distributors and current customers with all the wonderful widgets they ordered.
Request a free, no-obligation quote for manufacturer finance solutions by completing the quick quote form here or applying online. Get answers to your questions in 24-48 hours, or even faster. When approved to factor invoices, get your first funding and start unlocking working capital in as little as 3-5 business days.