Purchase Finance is a short-term loan facility that helps businesses finance the purchase of raw materials, inventory, or goods from suppliers. This is ideal for managing cash flows while securing early payment discounts or handling large purchase orders

For example: A manufacturing company might use purchase finance to quickly pay its suppliers for bulk raw materials needed for production, rather than tying up its own cash. The business repays the borrowed amount, usually after selling the finished goods, giving them the flexibility to manage their cash flow and take advantage of supplier discounts or fulfil large orders.

Benefits :

• Helps you buy goods now and pay later
• Improve supplier relations by ensuring timely payments
• Repayment upon invoice generation or within a set tenure