Purchase Order Financing in Canada

Purchase order funding has been gaining quite a bit of traction in Canada. It is a niche product that is mostly offered by a few specialty finance companies (and a couple of factoring companies). We have discussed the basics in other posts, but in summary, purchase order financing gives you funds to pay your suppliers so that you can fulfill orders.

Some product restrictions include:

1. Profit margins must be at least 20%
2. You must be a reseller of finished goods.
3. The order cannot involve any customization/installation tasks

There are some other important details about how purchase order funding works, but these are a good start. You can find resources on purchase order financing and learn about the benefits of purchase order financing by going here.


Looking for business financing in Colorado? We are a leading provider of factoring in Colorado. For information about factoring and purchase order financing in Colorado