Stock financing products are often conflated with “inventory loans,” which is a more general term. Unlike stock funding, which is appropriate for large B2B services, other types of inventory loans can be utilized by little B2C companies. Rates and terms for inventory funding, of course, differ depending on the loan provider and the type of inventory funding you’re applying for.
The amount of financing you get is directly associated to the value of the stock in question, normally 70 to 80% of the inventory’s value. Inventory financing items are often conflated with “stock loans,” which is a more basic term. Unlike inventory funding, which is appropriate for large B2B businesses, other types of stock loans can be utilized by small B2C businesses. Rates and terms for inventory financing, of course, vary depending on the lending institution and the type of stock funding you’re applying for. If you have a newer service without a demonstrable sales history, or your current stock is losing value and not selling, it’s unlikely that a stock financing business would be interested in lending to you.