Funding for Wholesale & Distribution
Asset-based lending is practically designed for distributors: inventory and receivables, your two biggest assets, become the collateral that funds the next container.
Distribution is a margin business squeezed from both ends of the calendar. Suppliers want payment on terms shorter than the ones you extend to your retail customers, the best pricing goes to whoever can commit to volume, and every pallet in the warehouse is cash you cannot spend. The faster you grow, the wider the gap gets — which is exactly when a bank gets nervous. Broadway reads a full warehouse and a thick aging report as assets, because they are. One short form, three months of bank statements, soft credit pull, same-day decision, funding in as little as 24 hours.
The challenge
You buy in bulk and sell on terms, so your capital sits in the warehouse and in receivables at the same time. Growth means more of both — and less cash than ever.
How Broadway Advance helps
Asset-based lending is practically designed for distributors: inventory and receivables, your two biggest assets, become the collateral that funds the next container.
What owners use it for
- Make bulk buys that unlock supplier volume discounts
- Bridge net-30 and net-60 receivables from retail customers
- Expand warehouse space and racking
- Buy forklifts and delivery trucks
- Build seasonal stock ahead of peak demand
- Take on new product lines and territories
See your real number in about five minutes.
Apply nowFunding options that fit wholesale & distribution
Asset-Based Lending
Turn real estate, inventory, equipment, or credit into working capital.
Based on asset value →Business Line of Credit
A revolving cash reserve you only pay for when you draw on it.
Flexible limits →Term Loan
The lowest rates and longest terms, with predictable monthly payments.
Up to $5,000,000 →Wholesale & Distribution funding questions
Can I borrow against my inventory and receivables at the same time?
Yes — that combination is the classic asset-based lending structure for a distributor, and it usually raises more capital at better pricing than either asset alone or any unsecured option. The facility can flex as inventory turns and invoices age, which suits a business whose asset mix changes weekly. Expect more documentation than an advance: inventory reports and an AR aging alongside your bank statements. We broker across 25+ funders and structure to your actual book.
A supplier offered a serious discount for a volume commitment — should I borrow to take it?
Do the spread math, honestly. If the volume discount plus your sell-through margin beats the cost of capital over the buy's life, borrowing to buy deep is simply good purchasing. A line of credit fits a one-cycle buy — draw, sell through, repay. ABL fits if big buys are your ongoing model. An MCA is the expensive option here and usually wrong for inventory; we will say so. Bring the supplier quote and we will price it against the discount.
My balance sheet looks thin because everything is in stock and receivables — will a lender hold that against me?
A bank might; we will not, because that is just what a healthy distributor looks like. Capital tied up in inventory and AR is not missing — it is working — and asset-based lending exists precisely to let you borrow against it. Underwriting looks at your deposit flow across three months of statements plus the quality of the assets: how fast stock turns, how reliably customers pay. The application is one form and a soft pull.