You get an order

WE PAY YOUR SUPPLIER

Growing your business requires cash. We get that.
When you get an order, we pay your supplier.

Talk to our expert

100%

we pay your supplier invoice

48h

time needed to get our GO

0€

cash needed in advance

Why Use
GrowKap?

Financing tools like factoring give you an advance on part of your receivables after your invoice. But how do you have cash to pay your suppliers first? That is what GrowKap brings: we finance 100% of your order to suppliers so fulfilling clients requests is never a nightmare. Using factoring is like riding a rusty bike while chasing money. But, with GrowKap, you are on board a fast plane, with only money coming in and never going out. By paying your supplier, we empower you to make those big important deals, and make cash with your own clients!

How does GrowKap work?

A new order comes in

Your customer places an order.

1

2

But you can't pay your supplier

Your customer won’t pay before getting the goods and you don’t have enough cash to pay your supplier. You choose: get financing to pay your supplier or refuse the order.

Choose GrowKap

We just need your customer order and your supplier order. Then the magic happens.

3

4

GrowKap pays your supplier

That’s the magic! Now you can deliver to your customer. This is called ‘purchase order financing’.

And you get paid

You deliver your goods to your customer, who pays GrowKap. That same day, we deduct our cost and fee and send you your margin.

5

How does GrowKap work?

1

A new order comes in

Your customer places an order.

2

But you can't pay your supplier

Your customer won’t pay before getting the goods and you don’t have enough cash to pay your supplier. You choose: get financing to pay your supplier or refuse the order.

3

Choose GrowKap

We just need your customer order and your supplier order. Then the magic happens.

4

GrowKap pays your supplier

That’s the magic! Now you can deliver to your customer. This is called ‘purchase order financing’.

5

And you get paid

You deliver your goods to your customer, who pays GrowKap. That same day, we deduct our cost and fee and send you your margin.

FAQs about PO financing

What is Purchase Order Financing?

Purchase Order Financing (PO financing) is a funding solution that provides capital to businesses to pay suppliers for goods related to specific purchase orders. This allows businesses to fulfil large orders without straining their cash flow.

How does Purchase Order Financing work?

A business receives a purchase order from a customer but lacks the funds to fulfil it. What can they do? One option is to approach a PO financing company, who pays the supplier directly, which allows the business to deliver the order to the customer. Once the customer pays the financer for the order, the business gets its margin minus fees and/or interest.

What types of businesses benefit from PO financing?

Businesses that benefit most from PO financing are typically those that:
• Have received large orders they cannot fulfil due to limited capital.
• Are experiencing rapid growth and need to meet increasing demand.
• Operate in industries with long payment terms.
• Are in a growth phase and need to invest in their assets.

What are the advantages of Purchase Order Financing?

PO financing provides advantages such as:
• Enabling businesses without sufficient cash flow to accept large orders.
• Helping maintain positive relationships with suppliers by ensuring timely payments.
• Obtaining potential discounts from suppliers thanks to reducing payment terms.
• Supporting business growth without taking on additional debt.
• Providing fast access to funds compared to traditional loans.

What are the disadvantages of Purchase Order Financing?

PO financing disadvantages include:
• It can be more expensive than other financing.
• Not all businesses or purchase orders qualify for financing.
• Dependency on the creditworthiness of your customers.

How much cash do I need to put upfront?

No upfront cash from you! GrowKap will cover it all – 100%. You’ll see money coming in at the end of the deal without seeing money going out at the start.

Want to find out more about PO financing?

What do you need to apply for financing?

B2B order

Supplier order