If you’re a business owner, you’re probably already familiar with the challenge of securing funding from your existing bank account to run your business. If you’re a small, medium or micro-enterprise (SMME), it can be even more difficult. As much as this is a standard go-to option for business owners, it’s not ideal. Instead, business owners can get funding for their Purchase Orders or Contracts with us. The best part is that you don’t have to give up any equity in your business, only an agreed share of the profit for that transaction.
ProfitShare Partners is an innovative fintech company. Our business model is designed to assist SMMEs that cannot attain funding from traditional funders. We provide an alternative funding solution that can quickly help fund your Purchase Orders. Here are our top tips for successful Purchase Order Funding:
- Know the product.
What is Purchase Order? A Purchase Order is a binding contract from a buyer to a seller. It secures an order which will be paid for at a later stage by the buyer. Businesses with little to no cash flow have to find funds to fulfil that PO.
As business owners, you know that it’s not easy to always dip into your bank account or get an investor on such short notice. This is where we come in. At PSP, Purchase Order Funding is a transaction whereby we fund your Purchase Order without you giving up equity in your business, only an agreed share of the profit. At the end of the transaction, we go our separate ways and wait until another PO brings us back together.
- Review your options:
Remember that banks, savings accounts or investors are NOT your only options to secure Purchase Order Funding. There are alternative funding providers available to you. Do your homework and find your top 2 to 3 choices. (Though, we should be number 1 😉) One of the most critical factors is to find a credible funder. They need to have a solid track record. Support is crucial during the process, so make sure they have a team that can assist you.
We are amongst these providers. So much so that it’s our core business. Our world-class technology and team of experts ensure that your PO is dealt with efficiently and accurately. This allows you to deliver to your client comfortably within timelines. We work with large corporates and SMMEs to ensure we contribute to driving inclusive growth, thus closing the gap between the two.
- Do in-depth research on requirements
Review the requirements and ensure you can fulfil these to complete your application. The last thing you’d want is to find a suitable funder only to realise that the two of you are not compatible. These could be simple requirements such as Purchase Order Funding within a certain threshold. Our Purchase Order Funding is available from R 250 000 to R 5 000 000 per transaction.
- Get your paperwork in order!
Admin has to be the death of anyone. But, when it comes to money, you better be sure to cross T’s and dot the I’s. This is why it’s best to take a moment to gather and prepare your documentation. The best way to do this is to go through all the requirements and ensure that you have all the documentation needed and you’re able to complete the form with your personal and business information.
- Ask for help
If you’re new to this and haven’t done anything like it before, reach out to the support teams. You can verify the process details with them, clarify any misunderstandings, and discuss the next steps after you get the funding.
Apply for funding.
At this stage, you’ve done your homework and planned and prepared your application. You can easily apply online for funding with all your documents and information on hand. Give our Purchase Order Funding a chance. You won’t be disappointed. Check it out and let us know.