We offer an array of asset based lending (ABL) and financing solutions.
Capital Desk is focused on financing solutions around receivables, purchase orders, and inventory. This includes asset based lending (ABL) and other non-loan solutions.
Please click on the asset category below to see possible financing solutions.
If you’re doing business with large clients, chances are you have to wait to get paid. And there’s no way around it – given the market dynamic, they dictate the terms. However, by some estimates, waiting 30-120 days to get paid requires companies to maintain 2-6X more cash on hand*.
With A/R Financing, you can secure an array of potential options, including:
- Business Line of Credit (BLOC)
- Receivables “Invoice” Factoring
- A/R Interest Only Loan
The biggest differentiating factor in determining whether a company qualifies for a BLOC or factoring is generally profitability.
For growing manufacturing and CPG companies, the reality is your business is capital intensive. As you grow, you receive more purchase orders. But those purchase orders usually outsize your receivables, which limit your capital capacity. With purchase order financing, you’re able to access funds, before you deliver product, to finance your cost of goods. With the right PO facility in place, you will never have to say no to a big order again.
How PO Financing works:
- You submit PO to finance most of your COGS
- Often paid directly to vendor
- Converts into a Receivable upon delivery
- Receivable can then be financed, rinse, and repeat.
Depending on where you’re at in the supply chain, receivables and PO financing may not be enough. This can come especially handy if you have a long turnaround time on production or an extended sales cycle. With inventory financing, you’re able to access up to 60 of the value of your raw materials and finished goods.
Available options include:
- Inventory Line of Credit
- Inventory Interest Only Loan
- Could be part of a broader financing package with A/R and Purchase Orders
With access to 60+ financing partners, we guarantee you multiple paths to close, provided you qualify.
Since September, 2023, we’ve deployed $114M+ to clients across an array of industries.
Asset based deals take 5-15 business days to close, sometimes longer. Sales based deals take 1-3 days. All deals move and depend on client responsiveness.
Asset based financing is when commercial finance institutions fund companies. In turn, the funder secures assets like receivables, purchase orders, and inventory to give companies access to the capital they need for operating expenses, growth, and working capital.
There’s both lending and non-lending solutions available. For example, asset based financing encompasses asset based lending; but not all ABF deals are loans. Many ABF deals, like factoring, are a structure whereby the funder takes the risk that customers don’t pay you anymore. The main difference is whether the company remains on the hook if that happens. It’s important to know the difference.
For standalone equipment deals, no. If you have receivables, purchase orders and inventory we can also leverage, then yes.
If your assets are tied up with another creditor, or you’re an asset-lite business, you may want to consider sales-based financing (SBF).