Oilfield Services Purchase Order Financing
While it sounds like a dream, it happens. It may have happened to you. This "it" is a client submitting the largest order in the company's history.
The result depends on the company. A company can have the staff and capacity to fulfill the order. Yet, suppliers don't deliver the materials you need to make it happen because you don't have enough credit to cover the order.
Fulfill large orders with purchase order financing
Going to a bank for working capital is one option, but most banks can't process the paperwork fast enough. Another option is purchase order financing, which is short-term financing for purpose of quickly purchasing materials or finished goods.
The way purchase order financing works is that Capital Solutions uses its cash and credit to purchase the materials you need. After you fulfill the order and the customer pays your invoice, you pay back the money Capital Solutions used to finance your purchase order. The process is simple and less expensive than you expect.
Use purchase order financing with accounts receivable financing to make a profit
Purchase order financing works with our accounts receivable financing service. If you use both services, we'll deduct the purchase order financing cost from the amount the customer owes you. In other words, you won't have to repay us. Furthermore, this lets you get the amount the client owes you in a few days instead of 30 or more days.
You'll be able to make a profit by using purchase order financing and accounts receivables financing together. The amount you owe Capital Solution for paying your purchase order financing invoices will come from the invoiced funded by the accounts receivable financing service.
What Our Clients Are Saying
- Brenda and Mark Neufeld,
In our very first conversation I noticed that you not only understood our situation, but also the Oil & Gas trade. Capital Solutions has been an invaluable help... We have grown our business exponentially thanks to you. I can now probably qualify for a traditional line of credit (...but I'm not sure I want to).
B.N.M. Piloting Services
- George Del Toro,
We were funded [in 10 days] (the approval process was very smooth). The way I spend my time has changed dramatically since then. I can spend as much time as I need visiting with customers and out on the field... In closing I would like to tell you that Capital Solutions has made it possible for GDT Well Service, Inc. to triple (300%) its business in the last year, without any of the "growing pains".
GDT Well Service
- Keri Gray,
The HUGE difference I found since we are working with you... is in the day-to-day life... Since Capital Solutions is funding us there is no "fear"... when I talk to a vendor or need to make payroll. You guys have also bent over backwards... to make it work for us. I really appreciate that.