Import Finance Line for a Texas Electronics Distributor
Distributor doubled order volume in the first quarter after facility was in place.
The Challenge
The distributor was sourcing consumer electronics from manufacturers in Malaysia and Vietnam. Rapid growth in their retail customer base meant purchase orders were outpacing available working capital. Paying suppliers upfront was straining cash flow and limiting how many orders they could accept simultaneously.
Our Approach
We assessed the distributor's trade flows, supplier relationships, and receivables cycle, then structured an import finance proposal suited to their transaction profile. We presented the case to two financial institutions in our network and negotiated terms that aligned with the distributor's payment cycles. The $1.2M revolving import finance line was established within three weeks.
The Result
With the facility in place, the distributor was able to accept larger purchase orders and take on two new retail accounts. Order volume doubled in the first quarter. The revolving structure meant the line replenished as invoices were paid, giving them ongoing flexibility rather than a one-time injection.