Are you worried about limited cash flow because of large inventory investments to meet demand?
Investing in inventory directly affects profit and cash flow for a business. Knowing how much to buy and when is a critical game with big gains and losses. Aligning with a partner to even out the ebbs and flows will make cash flow predictions more accurate and allow the company to remain nimble.
F2O helps customers by making inventory investments for them, relieving the customer and assuming the risk.
Prior to F2O, a relationship in the medical industry was constantly having to absorb their vendors’ shortcomings. The vendor’s lead time was typically uncertain and delivery dates were missed. Extra inventory levels were regularly purchased and stored to buffer the vendor’s inconsistencies. The extra inventory depleted cash flow and took up valuable floor space.
Building a mutually beneficial partnership with F2O looked a lot different from their previous vendor. F2O was able to help in two key ways. First, F2O invested in human and equipment assets to meet the client’s lead times consistently. Second, F2O assumed the investment and responsibility of purchasing and storing inventory, allowing the client to turn the inventory into cash and open up valuable floor space to add more internal value to customers.
Partners can leverage F2O’s strengths to offset their weaknesses. How much cash do you have on your floor space?
If limited cash flow continues to be a common factor in the success of your company, maybe an examination of vendors is necessary. If you’re open to explore what a relationship with F2O could look like fill out the form or call now.