Inventory Financing

What is Inventory Financing?

Inventory financing is a form of asset-based financing that allows businesses to use their inventory as collateral to secure a revolving line of credit. This financing option provides businesses with the flexibility to purchase additional inventory, manage seasonal cash flow fluctuations, and cover other operational needs.

Who Can Benefit from Inventory Financing?

1. Small- to Medium-Sized Retailers
Retailers often rely on inventory financing to maintain their stock levels and keep operations running smoothly. While larger corporations like Walmart and Target can easily secure financing through institutional banks, smaller retailers may face challenges accessing traditional financing. Crestmont Capital offers an alternative solution, providing retailers with the funds they need to:

• Stock shelves consistently.
• Overcome cash flow challenges during slow seasons.
• Access financing despite limited financial history or credit challenges.

2. Small- to Medium-Sized Wholesalers
Wholesalers, too, can benefit from inventory financing. These businesses often have warehouses full of goods ready to ship but lack the resources for their next production cycle. When traditional banks decline their loan applications due to cash flow or credit issues, Crestmont Capital steps in with revolving credit options to ensure continued operations.

How Inventory Financing Benefits Small Businesses

1. Ensures Shelves Stay Stocked
For small and medium-sized businesses, keeping shelves stocked is crucial to attracting and retaining customers. Limited capital can make this challenging, but inventory financing allows these businesses to borrow against their current inventory, ensuring they always have products available for sale.

2. Provides Financing When Banks Say “No”
Many small businesses struggle to secure loans from traditional banks due to poor credit history, inadequate cash flow, or lack of financial history. Crestmont Capital’s inventory financing removes these barriers by using inventory as collateral, offering a lifeline for businesses in need.

3. Supports Businesses During Cash Flow Lags
Seasonal fluctuations can lead to periods of low sales and cash flow challenges, particularly for retailers who depend on the holiday season for a significant portion of their revenue. Inventory financing helps bridge the gap during these slower periods, allowing businesses to continue operating at normal levels and prepare for the next busy season.

Why Choose Crestmont Capital for Inventory Financing?

At Crestmont Capital, we understand the unique challenges faced by small and medium-sized businesses. Our inventory financing solutions are designed to provide the flexibility and support you need to keep your business running smoothly, even during challenging times. Whether you’re a retailer looking to stock shelves or a wholesaler planning your next production cycle, our team is here to help.

Let Crestmont Capital turn your inventory into a financial resource, empowering your business to thrive year-round.