UPS Delivers Small Business Loans

United Parcel Services (UPS) has announced that, beginning September 9th, they will begin lending working capital to small businesses via its new UPS Capital Cargo Finance program.  UPS officials say the short-term loans will average around $150,000 and will effectively function like bank lines of credit.  UPS will advance the small business owner cash to cover expenses such as buying inventory to fulfill an order.  The small business owner will pay UPS half of the cost of a shipment of goods once it has taken possession of them, then the small business owner will have approximately 60 days to pay UPS the remaining balance plus interest.

UPS Capital Senior Marketing Director, Chris Vukas, said the program will be used to advance funds to pay for international, in-transit shipments of goods, allowing small business owners to obtain working capital earlier in the supply chain (sooner than they might if they had to wait for the inventory to sell).   Vukas and UPS are calling the service, which is bundled with UPS’ customs brokerage services “a true global supply chain finance solution”.

UPS’ corporate site reveals that to be eligible for the program your business must be U.S.-based, have good credit, have at least 3 years of importing experience and import at least one shipment a month by ground, ocean or air.

UPS will host an informational webcast tomorrow (Sept. 9, 2008).

Not quite ready for this program, UPS also offers small business loans in conjunction with the Small Business Administration (SBA).  These are government-backed loans that small business owners (and would-be small business owners) may use to purchase franchises, buy, start or expand a business and construct or buy a new facility.  Check out UPS’ Small Business Solutions center.

Get More Info on UPS Cargo Finance:

Call: 1.888.812.5696

Email: Cargofinance@ups.com

APPLY FOR A UPS CAPITAL CARGO FINANCE LOAN

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