Introduction
Sourcefin is a purchase order funding company. As a finance specialist, they provide an extensive collection of services to the SMME market that enables them to deliver on purchase orders. This includes purchase order, or PO, funding, sourcing goods from a network of suppliers, managing logistics, and offering expert guidance to its clientele. Furthermore, it provides invoice discounting services to help manage cash flow efficiently.
They specialise in purchase order funding and invoice discounting. Invoice discounting is a form of funding that allows SMMEs to gain access to cash tied up in invoices they’ve submitted. However, this review focuses on Sourcefin’s strengths as a purchase order funder.
Sourcefin ensures its customers work with the experts in full-service purchase order funding, tender funding and sourcing assistance to provide a full-service solution that supports the applicant from start to finish. Additionally, it aims to enable SMMEs to deliver on their promise by supporting improved service delivery in communities across South Africa.
PO funding solutions from Sourcefin also include tender funding that ensures that businesses obtain the necessary financial resources to secure government and corporate tenders.
Main Features
Helps unlock purchase order financing: If your business has a confirmed order but lacks the funds to fulfil it, Sourcefin provides the financing needed to get the job done.
Invoice discounting for improved cash flow: No need to wait 30, 60 or sometimes even 90 days for an invoice to be paid. Sourcefin’s INVD services allow SMMEs to turn their outstanding invoices into cash and only pay when they get paid.
Full-Service Support: You don’t just get financing. They also assist with sourcing materials and managing logistics.
Pricing
Sourcefin is free to use for all SMMEs. You, as the SMME, will only pay once your client pays you.
Since this is a purchase order financing platform, here’s how they make money:
- They cover the cost: When a customer places a purchase order, Sourcefin pays the supplier upfront for the goods.
- The customer will pay Sourcefin: After getting paid, the SMME pays Sourcefin the agreed-upon amount.
- Sourcefin makes a profit: Sourcefin keeps the original amount it paid to the supplier, and also takes a portion of the profit from the transaction as its fee.
