Adding another feather to its cap, AR Cash Flow successfully eased the cash flow pressure for rapidly growing vinegar manufacturing and wholesaler, Cintra Estate through an effective finance option – namely Debtor Finance. Cintra Estate is thrilled that they will neither need to put up real estate or other assets as security, nor will they need to trudge through tedious and time consuming documentation procedures.
According to Mr. Matthew Robinson, Managing Director, Cintra Estate, “It was a pleasant surprise for us to discover that our cash flow solution was right within reach – within easy access. When AR Cash Flow presented debtor finance as a means to fund our growth as well as improve our cash flow, we were anxious about fulfilling all our orders. We are quite excited now about finding the perfect solution, considering the constraints of our business!”
Debtor Finance is perhaps the most popular method today, when it comes to financing businesses that are poised for rapid growth. While unprecedented growth is always welcome, it also brings with it the challenge of keeping up with the cash flow for various operational expenses.
Daniel of AR Cash Flow says, “Unfortunately, banks are not the ideal cash flow solution as their procedures are not only cumbersome, but also, there is no guarantee that the funds will be sanctioned on time, if ever. The other option could be lenders, but they present a different kind of problem where the business must relinquish some part of its ownership or put up assets as security. In such a scenario comes debtor finance, which gives the business access to its own funds, namely its accounts receivables.”
For those concerned about the cost of debtor finance, the good news is that when managed efficiently, it more than pays for itself. The owners of Cintra Estate are pleased with this unique cash flow solution from AR Cash Flow, as they can now focus on growing their business. The vinegar market is a growing market even though the number of producers is low. Most of the competitors are from overseas. The vinegar produced is mainly used in cooking, on salads and over fresh oysters and is mostly sold to restaurants, specialty grocers and butchers. International exports is also picking up quickly, with international trade being driven by Austrade.
Robinson remarks, “Our biggest challenge was cash flow because no sooner did we get money into our bank account than it would be channeled to the next order, leaving us worrying about raising the cash for operational expenses. Thanks to AR Cash Flow’s solution, we are now confident about honoring all our orders.”