TradeCap Partners recently closed two PO Finance facilities totaling $18 million for two government contractors selling personal protective equipment (PPE). One contractor was a woman owned business with extensive experience in sourcing PPE. The other, a team of disabled veterans with strong logistics and sourcing backgrounds.

Both companies secured sizeable contracts with short delivery timeframes. The capital needed to fulfill the contracts outstripped the capacity of their respective capital bases. The owners and existing investors had contributed equity to bridge a portion of the funding needs but additional capital was required to cover cash flow shortfalls associated with paying for goods and logistics costs.  

TradeCap was able to quickly assess and underwrite the clients’ history of sourcing PPE product and verify the overseas suppliers had proper registrations and product certifications. TradeCap’s funding solution allowed both companies to lock-in quantities with suppliers needed to fulfill the contracts.