Working capital on produce invoices, structured around PACA.
Growers, wholesalers, shippers and brokers of perishable agricultural commodities operate on razor-thin margins where every day of delayed payment compounds the risk of spoilage, missed payroll and broken supply chains. Buyers dictate 30-to-60-day terms while the product itself has a shelf life measured in days. Factoring structured around PACA closes the gap.
- 01
Product shelf life is shorter than standard payment terms
Perishable commodities have a useful life measured in days, while buyer payment terms typically run 30 to 60 days. Sourcing the next shipment often precedes collection on the previous one.
- 02
Revenue is seasonal; operating costs are year-round
Planting, labor, equipment, and inputs are funded months before harvest. Revenue concentrates in specific growing and shipping windows, while fixed expenses continue between seasons.
- 03
Volume orders require corresponding upfront procurement
Large orders from retailers or foodservice buyers require immediate procurement from growers. The capital outlay occurs at order acceptance, while payment follows the buyer's standard terms.
Growers, packers, wholesalers, distributors, shippers and brokers handling fresh or frozen fruits, vegetables and other perishable agricultural commodities. Annual revenue $200K to $20M+.
- ·AR aging report
- ·Sample invoices from produce buyers
- ·PACA license number (if applicable)
- ·Voided check for ACH funding
- 01Advance against approved buyer invoices once they clear, so the operator can pay growers, source the next shipment, or cover payroll without waiting on the buyer.
- 02The facility is structured within the PACA trust framework, preserving the operator's statutory protections on the receivable.
- 03The desk monitors the receivable and tracks payment status, so the operator stays focused on product. The operator retains responsibility for collection.
- 04Funding available seven days a week during peak season, when product moves regardless of the calendar.
- Funding speedOnce approved
- AdvanceSubstantial against face value
- PACA complianceStructured within PACA trust
- Availability7 days during peak season
- CollectionsMonitored by the desk. Client retains collection responsibility.
- Personal guaranteeNot required on the invoice
Produce Factoring
Invoice factoring built for perishable agricultural commodities. PACA-compliant, structured around the harvest, shipment and sale cycle.
Invoice Factoring
An advance against your 30/60/90-day B2B receivables, with recourse. We advance against the invoice and track the payment; you keep responsibility for collection, and we don't assume the debtor's non-payment risk.