2 min read
Why it hurts cash flow
You paid for stock against an order that has vanished, so the cash is locked in inventory until you find another buyer. The working-capital cycle has stalled at the worst point.
Bridge the gap
A short working-capital facility replaces the trapped cash so you can keep buying, marketing and trading while you sell the stranded stock. Repay it as the inventory clears.
Protect yourself next time
Take deposits on large custom orders and put cancellation terms in writing. A modest deposit shifts the risk back to the customer where it belongs.
What it means for you
Credicorp lends to your company, not to you personally, and takes no personal guarantee. See business loans or apply online when the numbers work.
Frequently asked questions
Should I have taken a deposit?
On large or bespoke orders, yes. A deposit covers your committed costs if the customer walks away and is standard practice for good reason.
Can finance cover stock I can't immediately sell?
Yes. A working-capital facility bridges cash tied up in inventory. Just make sure the stock is genuinely re-sellable and price the finance cost into your recovery plan.
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Read →Funding for UK limited companies
Credicorp lends to your company, not to you personally — short-term working capital with no personal guarantee. See what your business could access.