It's happening. Your product has taken off, and your company is growing fast. But now you're facing a brand new problem: you can't meet demand fast enough without seriously hampering your cash flow.
In this video, Gary Groff, VP of Commercial Banking at New Resource Bank, explains how asset-based loans can come to the rescue of small, growing natural products brands.
"An example: We work with the good folks at Alter Eco, a larger importer and retailer of quinoa and chocolate," says Groff. "They're beyond fair trade; what they do for the community and farmers that grow their crops is fantastic. But they also have to import a significant amount of inventory, because they're growing very quickly, and that's really constricting their cash flow. With an asset-based loan, we were able to allow them to borrow on their inventory and receivables, [which] gave them the much larger credit facility they needed to be able to scale their business."
