Why use Distribution Factoring
Distribution Factoring should be seriously considered for distribution companies/ distributors since most can relate to having to pay vendor in a short period of time while their clients seem to always be on a delayed payment schedule of 30 to 60 days. This cash flow gap can cause serious problems for your distribution business.
This cycle of receiving products from suppliers, delivering products to clients, paying vendors and collecting on invoices. This activity doesn’t always flow very smoothly,
That’s why you need Distribution Factoring.
The Disadvantage is that most Banks do not understand that one of your other largest and most valuable assets in your distribution business is your invoices for the products you have shipped to your customers and for that reason your Bank loan could be denied.
This is where we can help you by using distribution factoring also known as invoice factoring.
Moon Financial will able to do what most banks would not consider; using your commercial invoices as the only collateral to obtain working capital you need to run and grow your manufacturing business.
Utilize this cash flow funding to:
Acquire needed raw materials
Inventory
Make payroll
Pay suppliers
Hire more employees
Grow your Business