Stocking Finance

3 Easy steps to drive more business

How can I apply for Stocking Finance?

Dealership or stocking finance is business funding that uses assets, typically vehicles, as collateral for a loan. It allows dealers to expand their inventory from multiple sources including auctions and part exchanges without creating peaks and troughs in cash flow.

Also called inventory finance or warehousing finance, this type of funding can also allow manufacturers, suppliers and wholesalers to spread the cost of expensive materials.

Ready to grow your business with Stocking Finance? We’ve worked with thousands of UK SMEs to help find the right financing solution. Get started to see how we can support your business needs.

1. Apply Online in 60s. No Credit Check.

2. A dedicated Account Manager will discuss your options.

3. We’ll sort the rest & find the right solution for your requirement.

4. If accepted, receive your funding. Hassle-free.

Get Started

Are you a manufacturer, merchant, or supplier?

If you’re a manufacturer, merchant, or supplier seeking stock financing, a stocking loan can help. This short-term financing option allows you to purchase and hold inventory, especially useful for seasonal products, large raw material orders, or slow-moving stock. Stocking loans offer flexibility, enabling bulk purchases at potentially lower prices and faster customer delivery. Repayment typically occurs upon inventory sale, with interest often based on the holding period. This type of financing can help increase inventory and sales potential without straining your cash flow.

If you have a predictable sales model and can manage repayments effectively, stocking finance can keep your inventory full and cash flow strong.

Are you an independent, franchised dealer or motor trader?

If you’re a vehicle dealer we can help fund the expansion of your forecourt. As an independent or franchised forecourt, use finance to expand your inventory or upgrade the type of cars you sell.

This type of financing, sometimes called unit stocking finance, is designed specifically for car dealers and allows you to acquire inventory for your lot from various sources. This includes financing part-exchange vehicles, trade vehicles, and purchases at online or physical auctions. We work with a network of lenders and partners to help you find a suitable financing arrangement, whether thats a simple short-term loan, revolving credit, or an online inventory management and credit system.

Key benefits of Stocking Finance

Stock financing offers several potential advantages for businesses. It can be a useful tool for managing inventory and pursuing growth opportunities.

Here are some potential ways it can support your business:

Boost Sales & Revenue – A wider selection of inventory can help you meet customer demand and potentially increase sales and revenue.
Improve Cash Flow – Accessing financing can free up capital that would otherwise be tied up in inventory, allowing for reinvestment in other areas of your business.
Expand Inventory – Stock financing can enable you to increase your inventory levels without straining your existing cash flow.
Enhance Competitiveness – Having access to a broader product range can give you a competitive edge in the marketplace.
Quick Access to Capital – Fast payment options can provide quick access to working capital tied to your stock.
Flexible Payment Structures – Spreading the cost of inventory over time can provide greater control over your cash flow through short-term financing options.

Stocking Finance Solutions for…

Cars
Trucks & HGVs
Trailers
Vans & LCVs
Construction Vehicles
Recycling Vehicles
Tractors
Agricultural Vehicles
Lorries
Specialist Vehicles

Stocking / inventory finance is a type of asset-based finance that uses the security of your inventory to mitigate risk for the lender and can take two main forms.

Business Loan – Regular payments and guaranteed by the inventory you provide as collateral.
Revolving Credit Facility – Long-term cash flow support that you can use as required for your business.

As you sell the goods, the income is used to repay the loan or revolving credit facility. Should this not be repayed, the lender will repossess the inventory and sell it to cover the outstanding balance of the loan.

The application process for stocking finance

There are a few steps when applying for stocking finance for the first time. Making sure you gather the financial information, up-to-date management accounts, and a list of current stock, will speed up the application process with us. We’ll do the leg work to find the right lender for your requirement, but some of our lenders may require a personal guarantee. Credit history will then be reviewed on both the business and its owners.