Glossary

Inventory financing

Inventory financing lends against your stock — funding a big purchase ahead of demand, or releasing cash locked in goods sitting on the shelf.

2 min read

Funding against stockBuy or release
Short-termFrees tied-up cash

Definition

Inventory financing (or stock finance) provides funding secured against a business’s inventory — to purchase stock ahead of a sales peak, or to release the cash tied up in existing stock.

In plain terms

Stock is cash you cannot spend until it sells. Inventory finance lets you buy ahead of demand or free up that trapped cash to use elsewhere.

Why it matters for your company

It suits seasonal and product businesses that must buy before they sell. Model the funding need with the stock order finance calculator, and see asset-based lending.

Funding for UK limited companies

Credicorp lends to your company, not to you personally — short-term working capital with no personal guarantee. See what your business could access.