Purchase Order Financing – case 4

In the midst of the COVID 19 pandemic, a 50 year old manufacturer of women’s apparel was confronted with order cancelations as its retail clients shuttered their stores.  The company saw an opportunity and immediate need for PPE clothing (gowns, masks, boots and gloves) and successfully negotiated a guaranteed contract with a major municipality for PPE with delivery beginning in 30 days . Their Asian factories could retool and fulfill the orders but required a multi-million dollar letter of credit to guaranty payment.  We brought together experts in Purchase Order financing and successfully provided PO funding in record time so that this company could secure a very large and profitable guaranteed contract.