FREE MEMBERSHIP Includes » ABL Advisor eNews + iData Blasts | JOIN NOW ABLAdvisor Gray ABLAdvisor Blue
Skip Navigation LinksHome / Press Releases / Read Press Release


King Trade Provides $2.5MM PO Finance Facility for Men’s Apparel Importer

March 12, 2013, 08:04 AM
Filed Under: Purchase Order Finance

King Trade Capital announced the recent funding of a $2.5 million purchase order finance facility for a New York based importer of men’s apparel.

King Trade Capital was introduced by the client’s factoring company as its client was seeking to establish a purchase order finance relationship which would coexist with the factor.

KTC’s facility supports financing of the inventory required to fulfill an on going influx of orders from several major retail chains. Due to the increased volume of orders, the company did not have sufficient open terms from its vendors to purchase the inventory required for these sales programs. King Trade Capital quickly established a structured inventory purchase funding facility that provides financing of the in-transit inventory with an advance rate of 100%. KTC has arranged to fund cash on documents against payment to the company's overseas supplier. Additionally, cash advances for the freight, duty, and logistics costs were provided as part of the facility.

King Trade Capital established an inter-creditor agreement with the factor which allowed the company to finance the entire supply chain using alternative finance channels without having to raise equity from investors. As a result, this will enable the company to substantially increase its business with these retail customers for 2013.

King Trade Capital is the country’s oldest and largest independent purchase order and contract finance company. KTC is focused on providing purchase order and contract finance for small to middle-market companies nationwide.

Week's News

Comments From Our Members

You must be an ABL Advisor member to post comments. Login or Join Now.