Purchase Order Funding
How It Works
Through our Purchase Order Financing process, ProfitHub assumes the lead role and responsibility in fulfilling the requirements of your standing Purchase Order.
We do this by sharing our finance, legal and procurement expertise with you so that you can continue to grow, and the integrity of your supply process meets the highest standards.
We do this by sharing our finance, legal and procurement expertise with you so that you can continue to grow, and the integrity of your supply process meets the highest standards.
Our Process
- A Purchase Order is provided to the SME by a client.01
- The SME applies for Purchase Order Funding through ProfitHub by completing our online application.02
- ProfitHub completes its due diligence on the Purchase Order, SME, and transaction.03
- On approval, ProfitHub draws up and provides the necessary agreements to the SME for its signature.04
- ProfitHub and the SME cooperates to ensure that all security measures ProfitHub imposes are implemented and met.05
- ProfitHub pays the supplier(s) of the goods directly.06
- ProfitHub ensures that the supplier and sub-suppliers, supply the goods timeously.07
- ProfitHub confirms that the client arranges and accepts the delivery of the goods.08
- Payment is awaited and eventually received by the client.09
- ProfitHub is paid its percentage of profit and the transaction is finalised.10
Purchase Order Funding Rates
In exchange for the financial and professional assistance provided by ProfitHub, we merely request a share of between 25% to 35% of the Gross Profit return from the completed Purchase Order.
ProfitHub carefully considers the unique merits of each transaction, but the following requirements will take preference:
ProfitHub carefully considers the unique merits of each transaction, but the following requirements will take preference:
Minimum Requirements
- 1Value of the Purchase Order must exceed R300 000.00
- 2Your Gross Profit on the Purchase Order should be more than 30%.
- 3The client granting the Purchase Order should be a government institution or parastatal.
- 4The delivery date required by the Purchase Order should be reasonable, allowing ProfitHub and relevant suppliers enough time to complete the order.