Business and Cash Flow Finance
Pinnacle Capital is able to arrange business and cash flow finance for small and medium business enterprises. We have access to a large network of lenders including all the major Australian banks.
Business finance can be of assistance in the following instances:
- To provide working capital/factoring (debtor or trade finance).
- To fund business expansion.
- For debt consolidation.
- For business acquisition or to purchase assets.
- For export or as a letter of credit.
Typically, Pinnacle Capital arranges loans for small to medium size businesses requiring $100,000 - $10,000,000.
If your business sells on credit terms to your customers, you can leverage against these customers to obtain working capital, i.e. when you invoice a business customer for goods or services provided, this debt is an asset of your business and you can borrow against it.
An invoice factoring company/lender will lend sometimes up to 100% of your invoice (generally 80%), and provide funds to your business on the day the invoice to your customer is generated. When your customer pays the debt, the remaining 20%, less the invoice factoring company's charges, is paid to you.
Our experience and knowledge of the industry ensures that we are able to negotiate the most suitable and cost-effective solution for your business.
Contact Pinnacle Capital today for further information.
Trade Finance – Export & Import Finance
If your business buys stock or goods for onward sale, you can leverage against this stock to obtain working capital. That is, you can fund your international trade, also known as export finance or import finance.
Various types of trade finance solutions are available to allow your business to borrow the money to pay for goods or raw materials, both domestically or internationally. Trade finance lenders are usually able to pay your supplier directly, or to advance you a percentage against the value of stock held.
Letter of Credit
A letter of credit is a formal document, guaranteeing payment by a bank to a third party for a specific amount of money.
Letters of credit are very useful for cash flow purposes. Often, suppliers ask for deposits upfront prior to the goods being manufactured. A letter of credit will often replace the need for placing a deposit with your supplier.
Letters of credit is one of the most common methods of payment in international trade and are very useful when dealing with new suppliers. Although not a 100% guarantee that you will get exactly what you ordered, if structured correctly, letters of credit will ensure that suppliers have to meet all the terms of the document and you are more likely to get the quality and quantity of the goods your ordered in a timely manner.
We can assist in the preparation of Letters of Credit to your lenders or negotiation in the terms with your suppliers or customers.
Our lenders can open sight or term Letters of Credit in favour of your suppliers anywhere in the world. Lenders will then grant you credit up to 180 days from the date of payment to repay the amount paid. This allows you breathing space to clear, sell and be paid for the goods before actually paying for the goods.
Contact Pinnacle Capital today for more information about the finance solutions we can offer to meet your needs. We offer no obligation, free consultations, and will be able to provide you with an assessment of what type of finance would best suit your business.