Funding Built for Food & Beverage Distributors

Yes. Food and grocery wholesale is a high-volume, thin-margin business, and we fund it with that reality in mind. Grocery and related product merchant wholesalers (NAICS 4244) did $1,262.9 billion in sales in 2022, up 12.8 percent from 2021, according to the U.S. Census Bureau, so this is a large, real sector with a structural cash-flow gap. We size funding to your monthly revenue and how the cash moves through your business, not to a single credit score.

Yes, this is the most common reason distributors come to us. Under the Perishable Agricultural Commodities Act, the default term to produce suppliers is 10 days after acceptance, and protections fall away if terms stretch past 30 days. Meanwhile restaurants, grocers, and foodservice accounts typically pay you on Net 30, 60, or 90. Working capital advances you the cash now so you can pay suppliers fast and cover route and warehouse payroll while those buyer invoices clear, and you repay as the money comes in.

It's a real factor, and naming it honestly is the point. Under the PACA statutory trust (7 U.S.C. 499e(c)), your perishable inventory and the receivables and proceeds from selling it are held in trust for unpaid produce suppliers, who have priority over secured lenders on those trust assets in bankruptcy. That's exactly why a bank may tell you your AR is encumbered. We don't ignore the trust, we structure around it. Where your receivables are PACA-trust assets, that shapes how a working capital or factoring arrangement is set up, rather than disqualifying you outright.

Approval typically comes within 4 to 8 hours, with funds following shortly after. With perishable inventory, speed matters more than a slightly cheaper rate, a refrigeration failure, a delayed truck, or a missed supplier COD can turn paid-for product into a loss fast. That speed is the main reason distributors choose us over a bank or an SBA loan, where the same request can take 30 to 90 days.

We fund your business, not your customers. Our capital goes to your company, for the supplier payments, payroll, inventory, fuel, and cash flow it takes to run the distribution operation. We do not finance the restaurants, grocers, or foodservice accounts you sell to, and we are not a PACA trustee or a freight or cold-chain financier. How you bill and collect from your buyers stays entirely with you.

Often, yes, and it's a strong fit for this segment because your receivables are real invoices owed by creditworthy commercial buyers. With factoring, the buyer's credit (not yours) largely carries the deal, and you convert Net 30 to 60 invoices into cash now to close the gap with your fast-pay suppliers. One important caveat: where you sell produce, those receivables can be PACA-trust assets, so any factoring has to be structured around the trust. We'll tell you honestly how that applies to your accounts rather than promise it blindly.

All credit profiles are considered. Most distributors we fund have been operating for at least 6 months and generate $10,000 or more in monthly revenue. Your sales history and day-to-day performance matter more than a perfect credit score. We don't fund pre-revenue startups, there's a hard six-month minimum.

Yes. Demand and product mix swing with the seasons and holidays, so you often have to front-load inventory purchases before the revenue arrives and carry a deeper cushion in peak buy-in periods. Working capital or a business line of credit covers that ramp, you draw to buy ahead of the surge, then repay as those orders get paid.

Yes. Refrigerated routes run a second engine to keep the box cold, so fuel hits you twice, and diesel is volatile, Producer Price Index data showed diesel fuel prices rose 42.0 percent in March 2026 and 15.7 percent in May 2026 (Bureau of Labor Statistics). The FDA's FSMA Sanitary Transportation rule also requires temperature control, precooling, and recordkeeping, so the cold chain is a fixed, non-negotiable cost. When fuel and food costs spike between order and collection, working capital bridges the gap on invoices you already priced.

It depends on the product. Working capital is based primarily on your revenue and how cash moves through the business, not on pledging hard assets. Factoring is based on your invoices and the credit of the buyers who owe them. Equipment financing typically uses the equipment itself as collateral. You apply once and we match you to what fits, including options that don't require traditional collateral.

No. Checking what you qualify for uses a soft credit pull that won't affect your score, and there's no obligation to move forward.

Often, yes, and it's a common reason distributors come to us. In the Federal Reserve's 2025 Small Business Credit Survey, about one-third of firms that applied for financing still faced a funding gap, and rising costs of goods, services, and wages was the most common financial challenge. Banks are wary of perishable inventory and PACA-encumbered AR. We look at your revenue and how your business actually runs, consider all credit profiles, and structure around the PACA trust rather than walking away from it.