Enabling international growth with receivables and inventory financing
A medium-sized industrial supplier with locations in the Netherlands, the United States, and Italy faced a challenge. Although the company had been profitable for years and held a strong position in its niche market, it struggled with a growing need for working capital. The business supplied large customers worldwide with long payment terms, while inventory levels had to be increased due to rising lead times.
Despite solid financials and a proven track record, it proved practically impossible to obtain financing from traditional banks. The main reason: the complex corporate structure with multiple legal entities abroad and an international receivables portfolio. Banks found the risks difficult to assess and saw insufficient opportunities to finance the outstanding working capital.
The challenge
- A growing receivables portfolio in various countries
- Increasing inventory investments due to longer lead times
- Multiple legal entities in the US and Italy
- Traditional financiers who found the international structure too complex
- Limited liquidity to finance new orders and sustain growth
The Credit Comfort approach
Credit Comfort was asked to help find a solution that was both quick and practically feasible. Our experts analyzed the complete receivables portfolio, collection processes, contract structures, and the legal setup of the various entities.
Based on this, we advised a specialized financier that is accustomed to financing international receivables and inventory. We guided the company throughout the entire process: from structuring the financing application to aligning compliance and data reporting requirements.
The result
Within just a few weeks, a combined receivables and inventory financing solution was realized for all relevant entities. As a result, the company:
- Immediately unlocked additional working capital from its outstanding invoices
- Secured flexible financing on strategic inventory
- Gained a financier who understands international risks
- Could accept larger orders without liquidity pressure
- Obtained peace of mind and room to continue growing in Europe and the US
Impact
Thanks to the new financing solution, the company was able to increase production in a short period of time, serve new customers, and guarantee continuity in a rapidly changing supply chain. While traditional banks struggled with the legal structure, Credit Comfort provided a solution that did work—based on insights into data, risks, and industry practices.
“Within a few weeks, working capital was increased and the company gained the capacity to continue its international expansion.”
