One of our 'veteran’, Victorian based CFOs has recently impressed his wholesale/retail client with his ability to make positive financial change happen quickly. They had issues with cashflow which meant their growth was stunted.
Here’s how Michael managed the process and achieved a fantastic outcome.
The Challenge
A long-standing client operating a multi-channel wholesale and retail business was experiencing rapid growth across Australia and international markets. Despite strong sales performance however, the business faced increasing pressure on working capital.
It soon became apparent that the challenge was structural. There was a really lengthy cash conversion cycle: from supplier payments to customer receipts, the process extended nearly three months. Wholesale customers were typically on 30–60 day payment terms, while inventory turnover for online sales could take several weeks.
This created a consistent strain on cash flow, with significant capital tied up in stock before cash returned to the business. To sustain growth and maintain supplier relationships, a more flexible funding model was required.
The Solution
On the recommendation of one of our seasoned virtual CFOs, the client implemented a tailored funding facility designed to align with the business’s sales and cash flow cycles.
Unlike conventional loans with fixed repayment schedules, this facility features variable repayments linked directly to daily Shopify sales. This structure provided both liquidity and adaptability, ensuring repayments matched trading performance.
The funding model delivered:
Immediate access to capital to purchase inventory and pay suppliers.
Flexible repayment terms, automatically adjusting with sales activity.
Scalable funding access as the business continued to grow and perform.
This solution provided the client with working capital precisely when it was needed, without overextending the business during slower trading periods.
The Results
The outcomes were achieved quickly and efficiently due to the expertise of our CFO and their experience with this exact scenario multiple times over with previous clients. This is what the CFO delivered for their client:
Funding approval and establishment completed within one week.
Immediate access to the full facility, supporting stock purchases and supplier payments.
9% of the facility repaid within two weeks, well ahead of schedule.
The facility is projected to be fully repaid three months earlier than forecast, positioning the business for further funding opportunities.
The capital injection delivered both operational and strategic benefits, easing cash flow pressure, increasing purchasing power, and strengthening supplier relationships across both domestic and international markets.
The Outcome
This funding solution proved to be a strategic enabler for growth. It provided the business with the flexibility to manage working capital effectively while maintaining momentum across multiple sales channels.
By aligning financing with the natural rhythm of the business, our virtual CFO helped their client to achieve improved liquidity, greater confidence in managing cash flow, and a stronger foundation for future expansion.
Partner With Us
Access to the right funding structure can be the difference between growth and stagnation. Our team specialises in developing tailored financial and cash flow solutions that support sustainable growth and business confidence.
Contact us today to discuss how we can help you strengthen your cash flow and unlock new growth opportunities.
