The fashion industry is seasonal. We get it. The time between when you receive your orders to when you finally get paid can take months. On top of this, you have rent, salaries and show costs to pay. You’ve tried the bank. It’s expensive, inflexible and takes forever to get a decision.
With Lacuna, you’re working with fashion funding experts and our sister company Funding Invoice to get you paid quicker.
We can advance cash against your orders and invoices today, to reduce your wait time and make sure your brand can continue to grow. This is especially useful for orders with 30, 60 or 90 day payment terms.
What is the process?
We begin by requiring some basic information about you and your business including your proof of ID, proof of address and company financials. Once approved, you can begin to upload your orders and invoices for funding.
2. Order verification
Alongside company credit checks, we seek verification of the order or invoice from the retailer that you are working with i.e. the company who is going to pay your invoice. We verify the details of each invoice by speaking with your customer and confirming all the information including the invoice value, payment terms and delivery windows. Once agreed, we will verify your application and the funds can be released to you within 48 hours.
When it comes to repayment, settlement of your invoice will be paid into Lacuna’s bank account. We take out the amount that was advanced plus any fees, then return any excess funds to you.