Stock finance Ireland: pay suppliers, repay after you sell

Inventory finance, or stock finance, is funding to buy goods for resale, where the provider usually pays your supplier directly and your company repays once it has sold the goods. It suits wholesalers, distributors, retailers and online brands that buy well before customers pay. Our lender panel includes stock finance providers, including Treyd, which pays suppliers in Ireland and abroad.

The main options are stock or supplier-invoice finance, where a funder pays the supplier and you repay in one to five months; trade finance for imports; an inventory loan or working capital loan; or negotiating longer supplier terms. For one large confirmed order, purchase order finance may fit. Match the option to how quickly the stock really sells.

It varies by provider and purchase. Treyd, for example, lets Irish companies choose a payback period of one to five months on each funded supplier invoice. Shorter repayment usually costs less. Match the term to how quickly the stock really sells, not your best-case forecast.

Yes. Some companies use stock finance to buy goods and invoice finance to fund the invoices once they sell to business customers, so funding runs from purchase to customer payment. Check that the two providers’ security does not overlap, because both may want rights over the same goods or invoices.

It varies. Some providers take security over the goods or keep ownership until you repay; others rely on the company’s accounts and a director’s personal guarantee. A charge over company assets is also possible. Check which assets are covered, as this can affect other borrowing your company has or plans.

Yes. Some stock finance providers pay overseas suppliers directly, and some also cover freight. For imports, you will usually need the supplier’s invoice, shipping details and a view of when the goods will arrive and sell. Exchange rates can change your costs if you pay in another currency.

Your company still has to repay the provider by the agreed date, even if the stock sells slowly or not at all, and costs often rise the longer you take. Before financing a large purchase, test realistic sell-through rates and plan for discounting or returning slow-moving stock.

Some providers say they can decide quickly: Treyd says Irish applicants receive a limit within 24 hours of applying online. This is not guaranteed. The first purchase takes longest, because the provider checks your company, accounts and suppliers; later purchases under an agreed limit are usually faster.

It can. Paying suppliers upfront or on time can help you negotiate early-payment or bulk discounts, which may offset part of the finance cost. Work out whether the discount is bigger than the cost of funding the stock for the expected period, and compare the two in euro before you commit.