Aurous Financial closed a $3MM facility for a manufacturer of cannabis packaging with sales to a major distributor. The client had MOQs and just-in-time replenishment orders, which can make it challenging for PO financiers to find comfort with inventory on the replenishment side. Fortunately, Aurous was able to find its comfort, given the client’s performance.
The client was already factored by an AR lender with no prior PO finance partnership experience. Aurous was able to negotiate the intercreditor agreement with the new AR lender partner within 48 hours, and funded the client within 5 days of receiving a completed application package.