Industries · Manufacturing & Industry
Inventory finance for manufacturing: capital out of raw materials and work in progress
In manufacturing a lot of capital sits locked in raw materials, work in progress and long production cycles. Inventory finance frees that money up, including alongside buying out your bank.
The working capital question in Manufacturing & Industry
Manufacturing businesses work with long cycles. You buy raw materials, turn them into work in progress and finished goods, and only then does the revenue follow. All that time a lot of capital stands still in your stock, which depresses your liquidity, and seasonal peaks make that pressure greater still, exactly when you want to be able to buy or invest.
Inventory finance frees up the capital locked in your stock, without you having to run it down. Where possible we combine that with factoring on your receivables, so that both sides of your working capital start working. And if your stock or your plant is already pledged to the bank, a business loan buys out that pledge, so the headroom is released after all.
Is your security already with the bank?
As long as your receivables, stock or property are pledged to the bank, additional finance is often blocked. SOOF takes over that pledge and coordinates the process with your bank, so that the form of finance that suits your situation becomes possible again.
How taking over a pledge worksMatching solutions
What suits this sector
What we bring in this sector
Experience with fluctuation
Experience with changing stock valuations caused by seasonal patterns and swings in raw material prices.
Taking over pledges
We take over existing pledges from the bank, so that stuck assets give you headroom again.
Little administration
Periodic submission of stock lists, no daily paperwork.
Does this sound familiar?
- A large part of your capital is locked in raw materials and work in progress.
- Seasonal peaks call for buying at the moment your liquidity is tight.
- Your stock or your plant is already pledged to the bank.
Know in three minutes what your working capital is worth
Fill in the Quickscan and see straight away which forms of finance suit your situation. No strings, no obligations.
Contact
Start with a conversation.
Send a message and we will get in touch, usually within one working day. Prefer to call? You will find our number at the foot of the page.
Jaap van AalstCommercial Director
Questions, or just want to get acquainted?
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Frequently asked questions
No. Your stock position stays intact. Inventory finance frees up precisely the capital locked inside it.
We have experience with fluctuating stock values. The finance takes your seasonal pattern into account.
Yes. With a business loan we buy the bank out, after which the pledge is released and inventory finance becomes possible.
Raw materials, work in progress and finished goods can all count. We look at what is locked up in your process.
Yes, we combine those often. That way both sides of your working capital work for you.