Summit Financial Resources finances companies of all shapes and sizes, from light manufacturing to heavy equipment, and IT staffing to worldwide distribution. While our clients are diverse, they have several things in common: they are well-managed companies who work with reliable customers and need additional working capital to grow.
That’s where we come in. Our invoice factoring, asset-based lending, inventory financing, and equipment financing programs are designed to help small business owners who need working capital for any number of reasons. They may want to fund rapid growth or balance sales seasonality. They may be a startup unable to get traditional financing or an established business that has reached a borrowing ceiling with their bank. Regardless of the situation, if you sell a product or service, bill for work completed, and need to keep your cash flow moving, our flexible financing products may provide the perfect solution.
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Here are a few of the industries that benefit from working capital financing:
Manufacturing
Manufacturing companies encounter working capital challenges because supplier and production expenses frequently require payment before goods are sold to their customers. Upfront costs for raw materials, labor, equipment leases, and rent can add up quickly, and the revenues to cover these expenses may come in slowly. Owners of manufacturing businesses need cash to bridge the gap between paying for producing goods and receiving payment when those goods are sold.
Summit Financial Resources’ asset-based lending programs, including inventory financing, equipment financing, and invoice factoring, allow manufacturers to receive funds before their customers have made payment. We can finance your manufacturing firm with a variety of options to help you get cash to replenish inventory or buy equipment, meet payroll, and cover operating expenses.
Because we are not regulated like a bank, we can make funding decisions quickly without going through a lot of red tape. This can be crucial when your small business hits a rough patch, like our client who manufactures aluminum and metal products. After a difficult financial period, the company’s bank asked them to exit and a turnaround plan was executed. Our $250,000 financing was in place within four days, allowing our client to get back on track and move toward a period of greater growth.
Freight & Trucking
If you own a small or growing transportation firm, you know that one of the biggest challenges is managing cash flow. Your drivers need to be paid regularly, and you have ongoing fuel and repair expenses. However, your customers may only pay their bills on a 30, 60, or 90-day schedule.
Summit Financial Resources understands the challenges small carriers have to deal with. We offer flexible programs that can increase your working capital by leveraging your accounts receivable assets. For example, our freight factoring program finances your outstanding invoices and provides you with the critical cash flow you need to cover expenses, take on more loads, and keep your trucks on the road.
Wholesale & Distribution
Cash flow may not be an ongoing issue for wholesale and distribution companies that have a steady stream of business and are selling to reliable customers. However, there are times when even the most steadfast customers can be slow to pay. If your unpaid invoices are accumulating and you have more money in your accounts receivable than in the bank, it may be time to consider your financing options.
Summit Financial Resources makes sure you have the best opportunity to improve cash flow with invoice factoring, asset-based lending, and/or inventory financing. These programs allow you to harness the cash in your accounts receivable and get funds before your customers have made payment.
We also can consider inventory as collateral for the loan. With our inventory financing add-on program, you pay us back when the inventory is sold through our invoice factoring program. One of our clients, a sporting goods apparel company, was refused additional borrowing capacity by their bank. We were able to provide a $1.5 million accounts receivable credit line plus inventory financing. With the additional inventory working capital availability, the company was able to take on new customers and recover from a sales shortfall from two of their largest clients.
Staffing & Professional Services
Staffing companies serve many different industries, but when it comes to financing their businesses, they often face similar challenges. For example, they may bill client companies once a month or even once a quarter, but they must pay temporary or contract employees on a weekly or bi-weekly basis. They may need help bridging the gap between paying wages and receiving the client company’s invoice payment.
Unfortunately, traditional bank financing is often not an option for staffing firms. Banks tend to base loan approvals on tangible assets like property or equipment, and the assets of staffing companies are their staffers and temporary employees. Professional services firms also do not carry any type of conventional inventory that can serve as collateral for a bank loan.
At Summit Financial Resources, we understand that professional services firms can benefit from flexible financing options and fast decision-making. For example, when a large staffing firm needed funding in less than a week, our accounts receivable lending facility was a viable option. This client provides translators and other services for the U.S. government overseas. Their quarterly bonuses were due but the company’s funding source was unable to provide the capital in time. Summit Financial Resources evaluated the situation and provided an initial infusion of $1 million in just six days, a full day before funds were needed for bonus payouts. With our accounts receivable credit facility, this firm’s employees were rewarded for their efforts, and the company was able to continue its projected expansion plans.
No matter what the industry, when your small business is faced with challenging business situations, Summit Financial Resources is your go-to source for unique financial solutions.
Working Capital Financing is a few clicks away.
Apply online and get started today >
Summit Financial Resources specializes in working capital financing for small to medium-sized businesses that need increased cash flow. We provide working capital financing through invoice factoring, asset-based lending, inventory lending, and equipment financing.