SouthStar Capital recently completed a $300,000 PO and A/R financing facility designed to support the expansion of a Midwest-based specialty printing supplier. The business, which began as a small online operation, recently secured a new national buyer requiring larger, recurring orders of specialty printer film, creating an immediate need for additional working capital.
The company sources its product from a long-standing domestic supplier, with orders drop-shipped directly to the end customer before invoicing. While the customer operates on Net 30 terms, the supplier requires advance payment, creating a timing gap that limits the company’s ability to scale. To support increasing order volume and ensure smooth fulfillment, SouthStar Capital structured a flexible funding solution that finances both purchase orders and invoices.
The facility enables the client to cover supplier payments upfront, ship product without delay and factor invoices for immediate cash flow. Initial funding supported a $12,000 order, with monthly volume expected to grow steadily as recurring transactions increase.
