Milestone Capital Lending Group

08/30/2022

When To Consider Purchase Order Financing

It’s a fact of life for every business owner: making sure your customers receive satisfactory order fulfillment is critical to success. When a customer makes a purchase, they expect to receive their high-quality product on time. Unfortunately, sometimes budget or cash flow problems can make you wonder whether you’ll be able to fulfill all of your orders. In these scenarios, you might want to consider using purchase order financing to make sure that your customers are fulfilled, giving them an incentive for repeat business in the future. Here are some of the tip-offs that could indicate this type of financing might be a useful solution.

Can You Put Up At Least 10% of the Cost of the Order?
One of the first factors you’ll run into when considering purchase order financing is the splitting-up of costs between you and the lender. In most cases, your lender will put up about 80% or 90% of the supply cost, and you will have to pay the remaining percentage. If your company is in a situation where 10% of the order total is too much to put up, applying for a lump-sum loan might be more helpful than financing.

Are You Looking for a Short-Term Advance Solution?
Though it might sound similar to a loan, this type of financing is actually an advance given to you that has to be returned once your order’s been sent to the customer. This means that it could be ideal for those searching for a short-term solution, as opposed to a long-term series of monthly repayments.

What Type of Orders Do You Need To Finance?
Though it can be a great solution in the right situations, only certain types of businesses will qualify for it. In particular, businesses offering physical goods, rather than other services, are best suited to it. If you manufacture consumer goods, this financing option could be a good match.

Even when you have little working capital and are wondering how to stretch your company budget any further, declining to fulfill customer orders can have serious negative ramifications for your business, both in terms of repeat business potential and in terms of overall reputation. Because fulfilling quality orders even when cash is scarce is of the essence, you may want to use the above guide to decide whether to turn to purchase order financing as a way of getting your customers what they want, even when the purse strings are tight.

08/24/2022

The Top SBA Franchise Loan Options to Consider

You have two basic options when it comes to SBA franchise loans. One is an SBA 7(a) loan, and the other is an SBA CDC/504 loan. Determining the type of loan that is right for your franchise is based on what you intend to use the money for.

The SBA 7(a) Loan
These loans usually make the most sense if you are opening and funding a new franchise. This is because it is possible to use the funds for virtually anything needed to get the business up and running.

The SBA CDC/504 Loan
While SBA 7(a) loans are much more flexible, the SBA CDC/504 loan is a better option for franchisees requiring a large amount of capital or long-term loans for purchasing, refinancing, or renovating specific fixed assets. Examples would be equipment or real estate.

08/24/2022

Getting to Know SBA Loans

SBA loans are considered some of the most coveted loan products available on the market today. This is thanks to their high capital amounts, which can reach into the millions, low-interest rates (often in the single digits), and longer terms. However, there is a lot of competition for these loans, which means you need to know how to give yourself and your business the best chance of being approved.

08/18/2022

HARD MONEY

A hard money loan is a type of short-term loan that is secured by real estate. You can use it to purchase and renovate a property. In many cases, lenders will offer a percentage of the after-renovation value of the property. In other words, you can borrow against the estimated value of the property when you are done renovating. That means that you will usually have more money for renovation.

The interest rates of hard money loans are usually somewhat expensive. However, they are intended for short-term borrowing only. Additionally, you may be able to defer some or all of your payments until you sell the property. Typically, these loans have relaxed qualification requirements.

08/18/2022

CASH-OUT REFINANCE

If you own existing property, you may be able to refinance it with a cash-out mortgage. This will give you some cash to help with financing another property. Naturally, this can be somewhat risky because your primary residence can become involved with your fixing and flipping project. However, it can also help you to get very low interest rates and fees. Plus, this is very accessible if you have equity in your current property.

04/14/2020

Paycheck Protection Program
Highlights

• SBA fees waived
• Up to $10 million-2.5x payroll expenses
• 1% Interest Rate fixed for life of the loan
• No Collateral Required
• No Personal Guarantee
• Loan Can be Forgiven
• Covered Period: 2/15/2020 to 6/30/2020

Contact us to submit an application.

04/09/2020

Entrepreneurs face the challenge of overcoming obstacles, big and small, every single day. Unfortunately, many small business owners spread themselves to thin by trying to be all things to all people. Others focus too much on big picture plans at the expense of day-to-day functions. While there’s no…

Entrepreneurs face the challenge of overcoming obstacles, big and small, every single day. Unfortunately, many small business owners spread themselves to thin by trying to be all things to all people. Others focus too much on big picture plans at the expense of day-to-day functions. While there’s ...

02/13/2020

Don’t turn down clients do to cash flow issues or lack of inventory. If you’re struggling to complete purchase orders or don’t have the financing available to attract large customers, find out today if purchase order financing can improve your financial situation. Many businesses rely on this type o…

Don’t turn down clients do to cash flow issues or lack of inventory. If you’re struggling to complete purchase orders or don’t have the financing available to attract large customers, find out today if purchase order financing can improve your financial situation. Many businesses rely on this ...

01/09/2020

Financing from a private lender has many advantages. Unlike a bank loan, private lenders can provide a hard money loan to respond to any financial need you may have. Discover the dynamic benefits and understand the requirements for receiving hard money loans.

12/12/2019

Investing in property is one of the smartest ways you can put your money to work for you. But whether you’re looking to purchase rental properties, or commercially-zoned buildings, it’s a universal truth that real estate investing requires a considerable amount of cash capital. So, it’s logical to a…

Investing in property is one of the smartest ways you can put your money to work for you. But whether you’re looking to purchase rental properties, or commercially-zoned buildings, it’s a universal truth that real estate investing requires a considerable amount of cash capital. So, it’s logica...

12/12/2019

Short on cash? From unexpected expenses to major expansions, there’s plenty of ways your business can use additional working capital. Many businesses rely on installments for large jobs, while others have slow seasons where payments are small and infrequent. Whatever reason you may need more cash ...