The holiday season is here everyone! We have been financing many retail businesses lately in order for them to have the inventory they need to make the most of this holiday season. As anyone in retail knows, the holiday season can make or break a retailer’s entire year – it is by far the most active time of the year. One thing that consumers and businesses notice during that time is that stuff always seems to run out – hot items are often sold out, which hurts the retailer’s reputation, and the business is not achieving its full potential in terms of profitability. That’s why it’s so important for a retailer to have the working capital it needs to make the most of the season.
At Merchant Advance Capital, we love inventory financings – it is our favourite type of deal. The reason is that the cash flow profile is a nice match for us and our clients. Our advance goes towards the purchase of inventory, and the sale of that inventory is what ultimately goes towards paying us back. Given that retail gross margins are often very high (depending on the type of product) and inventory can be turned around very quickly (especially in the holiday season), the cost of a MAC merchant cash advance is easily justified in the context of additional profits from the sale of these goods.
So if you need more inventory for this holiday season, please give us a call at 1-866-240-3694 and we will be happy to help! From everyone at Merchant Advance Capital we wish you happy holidays and a great new year!