The Different Options to Finance Your Business Inventory For many SMEs, inventory ties up a significant portion of cash flow. Finrack offers an alternative to traditional credit: converting inventory into liquidity through a temporary sale with buyback mechanism. As Xavier Corman summarizes: “Our method is quite unique. We do business financing through inventory. Any company with stock and a cash need can come to us.” – Xavier Corman, CEO of Finrack In Brief: 3 Options Offered by Finrack Standard inventory financing: starting from €250,000 for SMEs with digitalized, valuable stock. Finrack+: up to €3 million, backed by credit insurance. Sector-based, selective approach: Finrack finances liquid, traceable, and resellable inventory with daily tracking. Standard Inventory Financing The model is based on an inventory invoice: the company sells its stock to Finrack, receives cash, keeps the inventory physically on-site (company or logistics provider), and buys it back at the same price upon maturity. “A company will ‘sell’ us its stock. We pay the invoice. The company buys back its stock at the same price at contract end.” – Xavier Corman Key Operational Points: Business continuity: the stock doesn’t move; production and sales continue. Replenishment: each stock withdrawal is replaced with an item of equivalent value. Mandatory digital traceability: daily tracking (via file or direct system connection). “In stock management, if I take two apples and put back three pears of equal value, we’re satisfied. What we want is for the total value of the stock to remain stable, or above a certain level. In that case, the company can continue operating as usual. The only mandatory condition: the inventory must be digital.” – Xavier Corman Financial and Accounting Framework The financing doesn’t affect liabilities: it transforms the asset (stock → cash + buyback right). “Our financing isn’t a loan: it only impacts