Working Capital for Food and Grocery Businesses
MRKT Capital Finances The Food Industry
Financing food companies is not so easy. With the Work In Process element of production there is risk on the front end that most lenders don't want to deal with. Further, the grocery charge backs, spoilage, and major distributors create a whole separate issue. We happen to think the food, beverage, and grocery business is a tasty one(pun intended). MRKT provides purchase order financing, Asset Based Loans, and other working capital solutions to companies in the food industry.
Not only are we seeing some radical new changes in the space with newer, healthier, and more innovative food products, but financing the space is changing drastically too. Gone are the days of stuffy banks, hard to get loans, and hamster wheel like factoring programs. MRKT Capital is here to give you a new look at how food companies can be financed.
This has been a great year for food companies. Especially the newer brands that are popping up on the grocery store shelves. When you visit the National Restaurant Association Show or Specialty Food Association Show you can see just why monster brands like Nabisco and Heinz must be shaking in their booths. We continue to see millennials curbing their spend on general products, but they all LOVE their food and trying new things.
If you are an established brand and looking to improve your capital structure, we can help secure additional capital or cheaper capital. If you are a startup that's looking for a little extra cash to get you through to the next PO, we can help there too. Contact a MRKT representative today to learn more about how we help keep the food industry cooking. Email us at info@mrktcapital.com.
How long does funding take?
Asset Based Loans should take no more than 5-10 business days to fund. Depending on the size and complexity of the deal this timeline can vary. Typically the steps involved in underwriting one of these loans are application, proposal, due diligence(including field exam or audit), documentation and closing.
Is Your Food Biz Looking For Working Capital?
Asset Based Loans
An Asset Based Loan or "ABL" is a great arrangement for a food company. Food business can be asset heavy with inventory, equipment, raw materials, and accounts receivable. We have ABL programs that as low as $100,000 for wholesale or ecommerce businesses.
Inventory / Purchase Order Financing
Food business can be capital and inventory intensive. Most products are produced or acquired through a Work In Process scenario. It takes a certain type of lender to consider Work In Process Purchase Order financing. MRKT can help.
Growth Capital
Outside of an equity raise, it's difficult to find true growth funding for a food business. Working capital is essential in order to grow a new brand. If you find yourself looking for cash to get over development hurdles, Growth Funding is available. It's not cheap, but when used properly, additional growth funding actually ends up being the most worth while investment someone could make with their food business.
Lines of Credit
A line of credit typically offers the most flexibility when financing a food business. A bank or commercial lender will establish a line based on certain assets or cash flow and you can utilize that line of credit for whatever you'd like(within reason of course). Establishing a large line of credit that flexes up and down with cash flow requires a strong balance sheet and a predictable business. Flexible lines of credit available from $100,000 - $5,000,000.
Why MRKT Capital To Fund Your Food Biz?
Skilled Advisors
Finance professionals with industry experience to make sure you get the financing you deserve.
Quick Turnaround
Practical underwriting and the brightest team in the industry gets you answers as quick as possible.
Our Customers Love Us
We help you grow, and we grow with you. Financing is based on relationships and we like to make sure we are with you for the long haul.
We get it... You love your company, and we would love your business. We are here to serve you with the best possible financing options for your business.
— MRKT CEO
Speak with a MRKT Representative Today!
Prefer chatting on email? Contact us at info@mrktcapital.com and we will get right back to you.