Financial Success Stories
ANOTHER FINANCING SUCCESS STORY IN SARASOTA
Maryellen Graham of Florida Financial Solutions announces another success story of obtaining difficult financing for a Sarasota client. The client, who has a small manufacturing business, was looking for additional sales of his product. He brought his product to a store in Sarasota that is a part of a large Southeast US chain and that store was so impressed, they forwarded it to their head office. The
head office person got back with him and was impressed, however the only way that they could sell the product was if he would be able to produce enough of his product to stock all of the stores in the chain. Since his product is only available for use one time, this meant a tremendous amount of new sales for his company. But to satisfy the chain, he would have to develop special packaging and labeling of his product for them.
After much searching, he was able to find a machine which would be able to do the packaging and labeling for his product, however he found the machine to be very expensive to purchase and have shipped to Sarasota from the northeast US was more than he could afford. So he called his bank to see if they could finance the machine for him and he was declined because of a short sale on his house a year ago. Enter Florida Financial Solutions who was able to arrange a leasing arrangement so that he could obtain the equipment and have it owned by the leasing company and leased to him. And at the end of the lease he will be able to purchase the equipment for a minimal amount. Problem one solved.
But now he needed to purchase a lot more raw materials and hire a couple of new people. With the contract for the sale of the finished products in hand, Florida Financial Solutions, through one of their many avenues of funding, was able to deliver some assistance again with their purchase order funding. Problem two solved.
After manufacturing the product and shipping them to the chain, he found another small problem; the chain typically pays for the product 30 days after delivery. Since the purchase order funding was near his credit limit, he needed to find a way to continue to purchase enough raw materials to continue to keep manufacturing and shipping the product out each week. Again Florida Financial Solutions had an answer for him with their accounts receivable factoring where, when he invoiced the chain, he also forwarded a copy to the factoring company who advanced him the majority of the invoice amount, so that he then has enough cash flow now to continue to purchase raw materials, manufacture his product and ship it out. Problem three solved.
As he has now grown his sales and therefore his profits, his cash flow now is so much better that he sometimes does not need to use the purchase order funding and will soon probably be able to reduce his reliance on the accounts receivable factoring.
While this is an unusual case, with Florida Financial Solutions providing three different types and levels of funding, it does show the some of the many funding sources that they can offer. Has your bank turned you down when you needed funding for your business? If so, check out the many different funding types available at www.FloridaFinancialSolutions.com.