ETC Applies Factoring & PO Funding Programs to Reduce Cash Flow Wrinkles for a Cosmetics Company.

The cosmetics industry is one of the highest valued retail markets in the United States. According to Inc., beauty product sales (which includes skincare products, makeup, and fragrance) generate more than $50 billion each year. The average consumer spends thousands on beauty products and services annually. In fact, a recent study from Wells Fargo showed that many Americans will decide whether to purchase a product based on whether or not it’s available in store or online.

After being nominated for top women’s leadership in North America, the owner of a 2-year-old cosmetics business had her eyes set on expanding.

The company has recently tripled their sales volume, with more accounts and larger orders in the pipeline, working capital was constrained and the client needed assistance to keep up. With big box retailers knocking and further large orders on the horizon, they simply didn’t have financial stability to handle it all. When the prospect reached out, ETC put on its war paint and embarked on a complete financial makeover for the client. Starting with a solid foundation of factoring to speed up customer payments and PO funding facility to defray the costs of production, the client was prepared for Express to apply concealer to their cash flow issues.

Thanks to Eric Khorsandi who sourced this deal, the client is now equipped to scale rapidly and responsibly with a secured financing facility that also mitigates and protects against customer credit and supply chain risk. Now that ETC rolled out the rouge carpet, the client’s path is comfortably powdered (and powered) for growth.  ETC is blushing with pride for starting another promising relationship (and for its newly discovered makeover chops).