Inventory Financing from Celtic Capital: Fuel Your Business Growth
At Celtic Capital, we offer tailored asset-based lending solutions to help businesses unlock the cash they need to grow, and inventory financing is one of our key offerings. Whether you run a service business, a manufacturing operation, or a wholesale distribution company, if your business has valuable inventory but struggles with cash flow, inventory financing provides a powerful way to leverage your stock to gain immediate working capital. With our inventory financing options, you can transform your inventory into cash, allowing you to continue operations, expand, or manage expenses without delay.
Why Choose Inventory Financing with Celtic Capital?
- Maintain Cash Flow: Get the funds you need to keep operations smooth and respond to business needs immediately.
- Strengthen Supplier Relations: Pay suppliers promptly and take advantage of potential discounts.
- Scale Efficiently: Use the funds from inventory financing to invest in marketing, hire staff or purchase more inventory to drive sales and business growth.
$3,250,000
Supplier of Advanced Structural Composite Assemblies
$4,418,710
Manufacturer of Components for Electronics and Communications Industries
$4,897,600
Manufacturer of Steel Hex Keys
$4,000,000
Manufacturer of Precision Components and Assemblies
$1,250,000
Manufacturer of Prefinished Doors and Trim
$3,114,000
Fabrication of Metal Parts for the Automotive Industry
$1,700,000
Commercial Bakery
$3,610,960
Printer for the Newspaper Advertising Industry
$2,000,000
Manufacturer of Dry Blended Food Products
$900,000
Manufacturer of Specialty Chemicals
$1,652,000
Manufacturer of Electrical and Mechatronic Automotive Parts
$3,476,000
Concrete Polishing and Restoration Service Provider
$1,500,000
Powder Coating Job Shop
$6,835,000
Commercial Printer
Frequently Asked Questions
What is Inventory Financing?
Asset-based lending is a type of financing secured by an asset, and inventory is a business asset. Businesses can use their inventory as collateral to secure a loan or line of credit. This allows companies to access capital tied up in stock, which can be used for operations, expansion, or other business needs. Inventory financing helps businesses improve cash flow without having to sell off their inventory.
How Does Inventory Financing Work?
With inventory financing, businesses pledge their inventory (finished goods, raw materials, or unsold products) as collateral to secure a loan. Inventory that is obsolete, slow-moving, or difficult to liquidate may not be eligible. Lenders will assess the liquidity and marketability of the inventory before offering financing. The lender will assess the value of the inventory and typically lend a percentage of its value, typically 20%-50% depending on industry type and market conditions. The loan can be repaid over time, and the business may use the funds for day-to-day operations or to purchase more inventory.
What Are The Benefits of Inventory Financing for My Business?
Inventory financing offers several benefits:
- Improved Cash Flow: to cover operational expenses.
- Flexible Funding Options: for growth or new inventory purchases.
- Faster Approval Process and Access to Capital: compared to traditional loans.
- Ability to Leverage Existing Assets: for immediate financing.
- No Need to Give Up Equity: to get the needed working capital.
Can I Use Inventory Financing for Seasonal or Fluctuating Inventory?
Yes, inventory financing can be an excellent solution for businesses with seasonal or fluctuating inventory. Lenders understand that inventory needs can change throughout the year, so they often offer flexible terms. The amount of financing available may change based on your current inventory levels, allowing you to adjust financing as your inventory fluctuates.