You buy for cash. You sell on terms.
Buy in volume, sell on terms, and carry the difference.
Why cash runs short here
Distribution is a working-capital business by construction. You buy in volume for cash or short terms, sell on thirty or sixty days, and finance the difference out of your own pocket. Growth consumes cash rather than generating it.
What it funds
- Inventory purchases at volume pricing
- Fulfilling a purchase order larger than cash allows
- Bridging customer payment terms
- Warehouse and racking
- Adding a delivery vehicle
- Seasonal stock builds
What usually fits
- Business line of credit Capital on standby. Interest accrues on the balance, not on the limit.
- Invoice factoring Sell unpaid business invoices and get most of the value now. Your customer's credit carries it, not yours.
- Term loan A lump sum on a fixed payment. Built for a project with a return you can already estimate.
Advising wholesale & distribution
Send the file and we will come back with the structures your numbers support.