TradeCap Partners closed a $650,000 purchase order finance facility for an early-stage hair and beauty products company based in Florida. The facility will support fulfillment of large retail orders for multiple SKUs.
The company has been in business for a little more than a year and was growing brand exposure and sales. An existing big box customer increased orders and expanded the SKU and store count for the company’s products. With spring deliveries in transit, the company received orders for a summer program twice the size of spring orders. Based on ship windows and supplier lead times, the company needed to put goods into production before Lunar New Year.
The company’s supply chain finance provider introduced it to TradeCap. Within five business days of engagement, TradeCap structured a solution and provided funding to accommodate the supplier’s production lead times. TradeCap’s facility incorporated both letters of credit and documents against payment funding options. The facility advanced up to 100% of the transactional costs, including freight, duties, tariffs and fulfillment.
“We’re excited about our new relationship with this fast-growing company and the owners behind it. It’s a privilege partnering with entrepreneurs and their businesses, helping take them to the next level,” Clinton Stanton, managing partner of TradeCap Partners.
