Working Capital Solutions
Welcome to Merchant West Working Capital Solutions
Merchant West Working Capital Solutions helps you to grow your business by providing sustainable working capital finance offerings that add value. Our facilities are flexible by design, and our industry leading team is able to offer you the best advice available to meet your specific needs
Welcome to Merchant West Working Capital Solutions
Merchant West Working Capital Solutions helps you to grow your business by providing sustainable working capital finance offerings that add value. Our facilities are flexible by design, and our industry leading team is able to offer you the best advice available to meet your specific needs
Working Capital Solutions
View our extensive working capital solution offerings.
Escrow Accounts
Invoice discounting (Debtor finance)
Short-term & Medium-term Bridge Loans
Purchase Order Finance
Stock Financing & Purchase Order Finance
Trade Finance
Find a Sustainable Working Capital Solution
Allow Merchant West Working Capital Solutions the opportunity to engage with you in order to provide your business with a tailor-made, sustainable finance offerings that will accelerate your businesses growth. Our flexible facilities, made available through our dynamics team, provide you with the best solutions through outstanding advice and service.
Supported through our cutting-edge systems, our working capital solutions support the growth of your business in today’s dynamic business environment by:
- Allowing you to extend debtor payment terms
- Enabling you to secure early settlement discounts from suppliers
- Optimising your liquidity by providing a scalable and sustainable funding platform
- Providing value-added services to help you manage risk.
Speak to one of our experienced Trade and Working Capital specialists to schedule a confidential discussion to understand your business and to build a customised solution specific to your business.
How do I find out more about Merchant Wests Working Capital Solutions?
Simply complete our online enquiry form and one of our experts will be in touch.
Get in touch with us
Want answers to a pressing question about our working Capital Solutions or other financial services? Fill in the form and we’ll get back to you shortly
Working Capital Solutions
Frequently Asked Questions
Working capital refers to the amount of money that a company has available to fund its day-to-day operations, such as paying bills, purchasing inventory and meeting other short-term expenses.
Current assets include cash, accounts receivable, inventory, and other assets that can be easily converted to cash within a year. Current liabilities include accounts payable, short-term loans, and other debts that the company must pay within a year.
Working capital is essential for a company to meet its short-term financial obligations and to maintain its operations. A positive working capital indicates that the company has sufficient funds to meet its short-term obligations, while a negative working capital suggests that the company may face financial difficulties in meeting its obligations.
A few examples of working capital are:
1. Discounting debtors
2. Stock financing
3. Supply chain finance
4. Bridge finance
5. Creditors finance
6. Inventory finance
7. Purchase order finance
The four main components of working capital are:
- Debtors: This refers to the money that a business is owed by its customers for goods or services that have been delivered but not yet paid for.
- Stock: This refers to the raw materials, work in progress, and finished goods that a business has on hand and is available for sale.
- Creditors: This refers to the money that a business owes to its suppliers for goods or services that have been received but not yet paid for.
- Cash: This includes cash on hand and in bank accounts, as well as short-term investments that can easily be converted into cash.
Working capital is calculated by subtracting a company's current liabilities from its current assets. The formula for working capital is:
Working Capital = Current Assets - Current Liabilities
Current assets typically include cash, accounts receivable, inventory, and short-term investments, while current liabilities typically include accounts payable, short-term loans, and other current debts that are due within one year.