Connect with us
Our website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.

FINANCE

Ultimate Finance to fund perishables with new product

Purchase Finance launched to support SMEs in the food sector 

Leading SME funding partner, Ultimate Finance has launched a unique new product – Purchase Finance – which will enable small business owners to fund the purchase of goods including perishables and raw materials to support their own supply chain management and cash flow.

Typically, businesses are not able to secure funding to support the purchase of perishable goods or raw materials without significant collateral for security. This is a challenge that has had particular impact on the food and agriculture sectors, which have already been hit with a range of challenges such as a weak pound, steep competition and increasing costs of distribution.

This new funding product is completely unsecured; Ultimate Finance do not seek any personal guarantees through Purchase Finance, which many similar solutions would demand. Instead, Ultimate Finance consider the ongoing trading performance of that business.

Anthony Persse, Strategy Director at Ultimate Finance commented: “It has never made sense to me that small businesses dealing in perishables and raw materials, such as food, haven’t been able to access funding to grow. We all need food, it’s fundamental to life, and yet those producing grocery items are being stifled by old-fashioned finance set-ups offered by traditional lenders and so called ‘alternative finance’ providers.

“In an age of big data and next generation risk software, there is no longer a reason why financiers can’t offer good funding solutions to any thriving business. We have already seen the positive impact that Purchase Finance can have on an operation during our product pilot, and know that there is huge potential for businesses of all shapes and sizes to benefit from fast, flexible and fair access to funding.”

There are many additional issues faced by small food producers such as unpredictable payment terms from debtors and margin pressure from large retailers.

“Supermarkets and large retailers have long held the strings in the food supply chain,” comments Anthony.

“While they benefit from cash and have the power to squeeze supplier prices, small producers and farmers can often operate hand-to-mouth, without access to better terms. Purchase Finance addresses this by enabling businesses to pay their suppliers directly using a funding line from Ultimate Finance who can pay the supplier directly.”

Purchase Finance is a flexible line of credit set aside exclusively to pay supplier invoices. It covers any type of stock purchases, including raw materials, work-in-progress and perishables, allowing customers to purchase stock without worrying about paying suppliers up-front.

Backed by the Tavistock Group, Ultimate Finance is in a unique position to be able to access funding for its customers without reliance on banks or the markets.

For further information, please visit www.ultimatefinance.com

Continue Reading