About Contract Finance
The Basic Elements of a Contract Finance Transaction Include the following information for our customers at Apple Capital Group.
- A vendor/service provider that offers a product or a service to their customers under a fixed-term contract of at least 2 years
- An equipment component that is necessary to fulfill the contracted service or produce the contracted product
- A predetermined fixed minimum payment stream
- A credit worthy customer
How Contract Finance Works:
- The customer and service provider (debtor) establishes a contract; the service provider then brings that contract to Commercial Lending for financing.
- Our process allows us to monetize contracts for businesses. We fund the contract with equity costs so that the service providers may fulfill the contract for their customers.
- When it comes time for the customer to pay they submit the full payment to the service provider who then submits the payment balance plus any contract fees to Prime Commercial Lending.
Read more about Commercial Lending’s Contract Finance program highlights.
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