Purchase Order Funding: Your Questions Answered

We do not charge a percentage. We have a facilitation fee of 20% of all profits. We have no hidden fees or any other charges. No VAT

No, we fund Government and private sectors entities. 

We normally take about 4 working days to pay all suppliers. This is dependent on all paperwork to be in place and vetted

No, we don’t 

Yes, we do.

Purchase Order Funding, often referred to as PO Funding, is a financing solution where businesses can obtain funds based on confirmed purchase orders from their customers. This financing method helps companies fulfill orders without depleting their working capital.

Any business that deals with selling products or services based on purchase orders can benefit from PO Funding. This includes manufacturers, distributors, wholesalers, and service providers. It's especially beneficial for startups and SMEs who might have substantial orders but limited cash flow to fulfill them.

Unlike traditional loans which require collateral, credit history checks, and sometimes involve long approval processes, PO Funding is based solely on the value and legitimacy of confirmed purchase orders. This makes it a flexible and quick solution for businesses needing immediate funds.

To apply for PO Funding with Move Africa Capital, you will need to provide:

• Personal Details: This includes your name, surname, phone number, email, and ID number.
• Company Information: We require the name of your company to understand and assess the business seeking funding.
• PO Value: The value of the Purchase Order you wish to get funded. This helps us gauge the size and scale of the requirement.
• Supplier Quote: An official quotation from your supplier that details the cost of goods or services you intend to provide. Please upload this document using the "Supplier Quote" upload option.
• PO Copy: A copy of the Purchase Order you received from your client. This can be uploaded under the "PO Copy" upload section.
• RFQ: A Request for Quotation, if applicable. This document can be uploaded using the "RFQ" upload section.

Lastly, please let us know where you heard about Move Africa Capital, as it helps us understand our outreach channels better.

PO Funding can be transformative for businesses, especially SMEs. It allows for improved cash flow, the capability to accept larger orders, a boost in business credibility, and a reduction in the operational risks associated with large order fulfillments.

To apply for Purchase Order (PO) Funding with Move Africa Capital, follow these steps:

1. Initial Application: Submit an initial application to Move Africa Capital, detailing your business needs and the specific PO you wish to fund.
2. Documentation Submission: Provide all required documents, including the purchase order, business registration documents, financial statements, and any other documents requested by Move Africa Capital to assess your application.
3. Assessment: Move Africa Capital will assess your application, focusing on the viability of the PO, the creditworthiness of your client, and your business's ability to fulfill the order.
4. Approval and Agreement: If your application is successful, Move Africa Capital will issue a funding agreement outlining the terms, including the percentage of funding, fees, and repayment schedule.
5. Funding: Upon agreement, Move Africa Capital will provide the funds necessary to pay your suppliers, enabling you to fulfill the order.
6. Repayment: Once your client pays for the completed order, you will repay Move Africa Capital according to the agreed terms, including any fees or charges.

PO Funding offers several unique advantages:

• No Collateral Required: Unlike traditional loans, PO Funding does not require collateral, making it accessible for businesses without significant assets.
• Improved Cash Flow: PO Funding provides immediate cash to fulfill large orders, improving your cash flow without the need to deplete working capital.
• Flexibility: The funding amount is directly related to the PO size, offering flexibility that adjusts to your business needs.
• Fast Access to Funds: The approval and funding process is typically quicker than traditional bank loans, allowing businesses to seize growth opportunities promptly.
• No Debt Accumulation: PO Funding is not considered a loan, so it doesn't add to your business's debt levels, maintaining a healthier balance sheet.

Yes, PO Funding can be utilized across various industries, including manufacturing, construction, and service projects. Move Africa Capital has a flexible approach to funding, designed to support businesses in fulfilling orders across different sectors. This versatility allows companies within these industries to leverage PO Funding to manage supply chain costs, cover manufacturing expenses, or fund project implementations, thereby facilitating growth and operational efficiency.

PO Funding from Move Africa Capital offers several advantages over traditional bank loans and lines of credit:

1. Speed of Access: PO Funding provides quicker access to funds, often within days, compared to the lengthy approval processes of traditional loans.
2. Less Stringent Requirements: The approval for PO Funding is based on the creditworthiness of your clients and the strength of the PO, rather than your business's credit history or collateral, making it more accessible for many businesses.
3. Flexibility and Scalability: The funding amount is tied to the PO size, offering scalability that traditional loans may not provide. As your orders grow, so does the available funding.
4. No Long-term Debt: Since PO Funding is repaid as clients pay their invoices, it does not add long-term debt to your business's balance sheet, unlike traditional loans which can affect financial ratios and borrowing capacity.

The typical terms and conditions for PO Funding with Move Africa Capital include:

• Funding Percentage: Move Africa Capital funds a specific percentage of the PO value, which can vary based on the assessment of the PO and the client's creditworthiness.
• Fees: The company charges a fee based on the funded amount and the risk associated with the PO. This fee is clear and communicated upfront.
• Repayment Schedule: Repayment is contingent upon the payment from the client for the fulfilled order. The specific terms, including any grace periods or deadlines, are outlined in the funding agreement.
• Documentation and Compliance: Businesses must provide all required documentation and comply with any additional requests for information or audits as part of the funding agreement.

These terms are designed to provide clarity and ensure a mutual understanding between Move Africa Capital and the businesses it supports, facilitating a smooth funding process that enables businesses to grow and succeed.