UPS Capital Announces More Funding for Small Business Importers
UPS Capital, a subsidiary of UPS (NYSE: UPS), has announced it will expand its finance offering for in-transit cargo for U.S. importers. The new options will increase the amount businesses can borrow from 70 percent to 100 percent of the supplier’s invoice. Repayment terms are also being changed, with importers having 90 days instead of 75 to repay the loan.
UPS Capital Cargo Finance Expansion Helps Manage Cash Flow
Cash flow and having access to capital are the biggest challenges small businesses face. Waiting for outstanding invoices to be paid can cripple a small business. UPS Capital’s enhanced lending services are designed to help small business importers manage cash flow more effectively by having vital access to capital.
As Jose Aguayo, UPS Capital Payment Solutions Product Manager, said in a press statement about the extended financial services for small business importers:
“The financial success of a business is largely attributed to its ability to manage its working capital needs. Our UPS Capital Cargo Finance service is a great tool to raise cash.”
With the UPS Capital Cargo Finance service, importers who have been pre-approved for a loan are able to borrow unsecured credit lines from $30,000 to $1.5 million. Following confirmation of the supplier invoice by UPS Capital and providing the shipment has left its original destination, funds are disbursed to the U.S. importer.
The funds can then be used to pay suppliers earlier and at better terms, to purchase more inventory or to make other investments in the business.
UPS Capital Cargo Finance services will not interfere with a business’s existing relationships with banks. The enhanced finance services also provide eligible companies shipping with UPS more competitive interest rates.
These UPS Capital Cargo Finance expansions can ultimately help accelerate small business growth by providing companies with greater working capital to invest in their businesses.
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This article, “UPS Capital Announces More Funding for Small Business Importers” was first published on Small Business Trends