Map the order-to-cash cycle
Identify supplier deposits, production, shipping, storage, customer acceptance and expected collection dates. Each stage can require cash before the business is paid. A profitable order on paper can still create a funding gap. Keep the margin estimate separate from the timing forecast, and identify which part of the cycle the proposed finance actually covers.
Distinguish inventory lending from order finance
Borrowing against eligible stock and financing a specific customer purchase order can involve different verification and cash-control arrangements. Read who advances money, who receives it and what evidence is required. A product name does not establish that unfinished goods, overseas stock, custom items or a particular customer order will be accepted.
Ask what inventory is eligible
Where inventory supports a borrowing base, determine the valuation method, exclusions, reserves and reporting requirements. Stock age, ownership, location and saleability can affect the contractual calculation. Historical collateral guidance is a source of questions, not an applicable advance-rate table. The advertised facility limit does not establish the cash available against current stock.
Trace supplier and customer payments
Confirm whether funding is paid directly to a vendor, released to the business or controlled through another process. Identify where the customer must remit and which amounts are deducted before cash is returned. Avoid counting the same customer receipt as both repayment to the financier and free cash available to buy the next order.
Keep delivery and performance risks visible
Ask what happens if goods arrive late, are rejected, are damaged or require credits. A firm-looking customer order may still contain conditions. Establish who bears freight, insurance and cancellation costs. A financing cost model does not validate a purchase order, prove customer creditworthiness or confirm that the finished goods meet acceptance requirements.
Compare the full cash cost
Request the exact charge base, fee periods, minimum charges and settlement rules. Separate financing cost from supplier margin, freight, storage and other trading expenses. The constant-balance loan tool is only one illustration; a receivables or factor structure needs its own assumptions. Do not relabel a short-period discount as annual interest to produce a misleading ranking.
Stress a slow collection or unsold balance
Extend the time to customer collection while preserving the confirmed fee rules. Add the cash needed to carry remaining inventory and operate the business. Show what happens if the borrowing base falls before the expected receipt arrives. SBA’s program reference is a separate financing comparison resource, not evidence that the order or inventory qualifies.
Describe the transaction to MITEY
Explain the broad stock or order need, supplier-payment timing and collection uncertainty without customer identities or invoice numbers. Ask which structures and cost definitions are worth comparing. Provider introductions require confirmed availability and your permission. MITEY does not guarantee order performance, inventory value, funding or an approved supplier/customer arrangement.