Two fast-growing Denver-based companies, P2Binvestor and Capital 2 Thrive, respond to demand for a comprehensive working capital solution for growing businesses. Together, the companies offer purchase order financing and then receivables financing.
Denver, CO – August 19, 2014 – P2Binvestor (P2Bi), a crowdlending platform and financial technology company, recently entered into a partnership with Capital 2 Thrive LLC, a purchase order financing company. Both companies are headquartered in Denver. This partnership allows the companies to share resources and technology to better serve growing businesses looking for funding from purchase order to payment.
“Some of our clients needed purchase order financing to fill large orders before we could finance their receivables,” said Krista Morgan, cofounder and COO of P2Binvestor. “This partnership positions both companies to meet the needs of businesses that need cash-flow assistance at both the beginning and end of their manufacturing cycle.”
Capital 2 Thrive was established when executives at a toy company received a $1 million purchase order from a major retailer. They asked their bank for $400,000 in financing against the purchase order and were turned away.
“The bank told us they would lend us the capital if we could put up the same amount in liquid collateral. They wanted us to put $400,000 in a CD,” said Jeffrey Barnett, toy company executive and cofounder of Capital 2 Thrive. “Why would we seek financing if we already had $400,000 in liquid capital? We knew there had to be a better way and created Capital 2 Thrive to prevent other companies from facing the same issue.”
For businesses selling products to retailers, Capital 2 Thrive’s purchase order financing program provides cash for production, and businesses keep 90-97% of profit on an order. Once an invoice is issued for goods delivered, P2Binvestor provides financing against the invoice. P2Binvestor uses technology and a crowdlending model to reduce the effective cost of capital to its customers, paving a middle path between bank financing and expensive subprime lending. Combined, the financing provided by the two companies can help a company deftly manage growing pains, accept more orders from customers, and reach cash-flow-positive status sooner.
“We see this as a win for our manufacturing customers, especially for younger companies that need help to fund production on large or multiple purchase orders with overseas production. No longer do they have to worry about finding the cash to fill a significant order, while simultaneously trying to make payroll, cover operating expenses, and grow the business,” said Bruce Morgan, P2Binvestor cofounder and CEO.
About Capital 2 Thrive, LLC
Capital 2 Thrive provides companies with short-term purchase order financing to fulfill multiple, large, or unexpected purchase orders. Capital 2 Thrive serves companies all over the world in various industries such as manufacturing, consumer-packaged goods, toys, sporting goods, apparel, food and beverage, educational, health and nutrition, confections, household goods, aviation, logistics, packaging, entertainment, transportation, and oil and gas. When the inability to fulfill an order threatens revenue, profit, and possibly a tarnished reputation, Capital 2 Thrive helps with short-term capital for long-term success. Learn more at Capital2Thrive.com.
About P2Binvestor Inc.
P2Binvestor is a crowdlending platform for commercial working capital. Through technology and a crowd of accredited investors, P2Bi simplifies lending and provides efficient and competitively priced growth capital to small and medium businesses. P2Bi offers three products: A receivables-purchase / contemporary factoring product, an asset-backed line of credit, and a credit line secured by future contractual revenue (designed for SaaS and companies with regular payment terms). P2Binvestor has the capacity to consider multi-million dollar credit lines and lends to companies in all 50 U.S. states in various industries including staffing, natural foods, manufacturing, technology, and more. Learn more at P2Bi.com.