1. INVENTORY FINANCING SOLUTION
INVENTORY FINANCING SOLUTION
Rethinking Corporate Financing in
Uncertain Times
Grow without dilution or balance sheet strain
Xavier Corman, CEO – Finrack
May 27th
2025
2. INVENTORY FINANCING SOLUTION
The Challenges CFOs Face Today
• More cautious banks
• Rising interest rates and tightening covenants
• Need for agility and cash velocity
• Strategic growth blocked by capital constraints
60% of SMEs report delaying investments due to limited financing options*
*https://www.leasinglife.com/news/smes-overlook-alternative-finance-options-time-finance-survey/
3. INVENTORY FINANCING SOLUTION
The New CFO Mindset
From “Funding” to “Financing Strategy”
CFOs now look for:
✅ Flexibility
✅ Speed
✅ Non-dilutive alternatives
✅ Solutions tailored to assets (inventories, invoices, revenue)
💡 Financing should follow business cycles, not constrain them.
4. INVENTORY FINANCING SOLUTION
Breaking the Binary: It’s Not Bank vs Equity
Instead of choosing between:
c Debt (heavy balance sheet)
c Equity (dilution)
There’s now a third way:
Asset-backed alternative financing
“Use what you already have to finance what you want to do.”
6. INVENTORY FINANCING SOLUTION
Edebex (Receivables Financing)
- Sell non overdue unpaid invoices on a marketplace
- No loan, no collateral -> no impact in the PASSIVE of your Balance Sheet
- Immediate liquidity
- No financial analysis on the client
- ≠ from Factoring
✅ FAST average payout
✅ Great for B2B companies with long payment terms (30 + DSO)
🎯 Example: A service company secured €150K/month cash without new debt.
7. INVENTORY FINANCING SOLUTION
Finrack (Digital Inventory-Based Financing)
- Finrack finances your company based on your inventories
- Tailored for producers, importers, distributors, and wholesalers
✅ No equity dilution
✅ Inventories are used as collateral only (no impact on operations)
✅ Fully Balance Sheet “Active” solution -> no impact on your debt ratio
🛒 Use case: An importer doubled his purchasing power in 2024 with €750K of Finrack financing.
8. SOLUTION DE FINANCEMENT PAR LES STOCKS
Ownership of all goods
from a specific warehouse is transferred
to an investment vehicle
Defined by FINRACK
based on the information
provided by the Seller
PURCHASE PRICE
Anything the Seller removes from its
stock must be replaced with items of
equal value.
STOCK REPLENISHED
Goods from stock are resold to
the company at the original
price.
END OF CONTRACT
Contractually defined
(put and call options)
PURCHASE PRICE
FINRACK - HOW DOES IT WORK?
YOUR STOCK
TRANSPORT
9. INVENTORY FINANCING SOLUTION
When to Use These Solutions?
Use Edebex when:
→ Long customer payment terms hurt your cash
Use Finrack when:
→ You need to finance inventory to seize opportunities
💼 Combine both to smooth your working capital cycle
10. INVENTORY FINANCING SOLUTION
Takeaways for the CFO of Tomorrow
- Use existing assets (stock, invoices) as collateral
- Diversify funding sources = more resilience
- Be strategic, not reactive
💡 You don’t need to raise equity every time you grow
11. INVENTORY FINANCING SOLUTION
When to Use These Solutions?
Let’s Rethink Your Financing Together
- Ask us how we can support your growth
- See if your business model fits inventory or receivables financing
“The smartest CFOs don’t wait—they prepare.”
