Purchase Order Financing - Funding International Orders

I recently got a call from a company that sells products, both in the US and internationally. They had some purchase orders from major South American and European concerns, and wanted to know if they qualified for purchase order financing.

The answer, in their case, was yes.

Why?

1. They did business only with large reputable (and credit worthy!) companies.
2. But more importantly, they had the right mix of domestic and foreign business.

Financing companies will only provide purchase order funding if you include some of your domestic business as well (which was not an issue in this case). Obviously, they request some domestic business as well in order to minimize their risk.