Manufacturing businesses are at the top of the supply chain, right after those who provide the raw materials. While there are many markets to open up a factory for and begin producing items in, the tools and equipment lines needed for production are quite expensive. Expenses are projected to accelerate over the years as suppliers, partners and customers demand greater speed and scale in every aspect of production.
In addition to large equipment purchases, automation and technology are changing the industry. Staying up to date and getting ahead of competitors means purchasing new equipment and new software for the equipment. Balancing cash flow to include upgraded equipment along with the regular payments for payroll, real estate, inventory and more is a major struggle for business owners in the manufacturing industry. Other unexpected costs that arise include tied up invoices while waiting for a customer to pay, bulk ordering raw materials and hiring seasonal staff for large orders. These can all place a major financial burden on manufacturing businesses.
FundKite understands the need for additional funds to keep operations running smoothly and efficiently, and that’s why we partner with our clients to create long-term funding relationships. We’ll be there for your manufacturing businesses whenever you need, providing extra working capital to stay a well-oiled gear in the supply chain machine.
Common uses of funding for manufacturing are:
A larger facility, more or better equipment, and increase in raw materials means the ability to fill larger orders and attract bigger clients.
Don’t default on payroll because your customer was late. Upfront funds can cover that gap, as well as allow you to hire more employees for bigger jobs and orders.
Businesses looking for more customers and contracts can invest in marketing campaigns today, and see the clients come in for weeks to follow.
It’s not uncommon for companies with previous debt and loans to do a standard consolidation or reverse consolidation with us to help lower their rates and extend their payment term. Read more about our consolidation plans here.
Click here to apply for manufacturing financing!