BORROWING BASE LOANS AND WORKING CAPITAL LINES

Borrowing money against your base metal inventory is not a service you will find at many traditional banks. For those few traditional banks that do lend against it, terms and advance rates are often unappealing. Conversely, here at Kilo Capital we are commodity-focused lenders. Our deep knowledge of commodity inventory finance translates into sensible loan terms and high advance rates.

REPURCHASE AGREEMENTS

Sell your metal inventory to Kilo with an agreement to repurchase when you need it on pre-negotiated terms.

Warehouse financing

Also known as Select Inventory Finance (SIF), Kilo owns the commodity, which is stored in an agreed location ready for you to take delivery as needed. Select inventory finance is a highly efficient tool for financing your raw materials or finished goods with high commodity content. With an ability to finance up to 100% of the commodity content of this inventory, SIF is a powerful financing instrument. Warehouse financing addresses your funding need and also transfers the metal price risk to us.

SAFETY STOCK / BUFFER INVENTORY FINANCING

Kilo can maintain extra stock of raw materials at your site to ensure continuous production even in the face of supply disruptions.

FORWARD SALE & SUPPLY AGREEMENTS

Kilo will arrange for delivery of raw materials that match your specifications. Choose from fixed or variable price supply agreements to match your business needs.

Syndicated credit lines

Scale up the size of your facility with a senior secured line of credit that is syndicated to a group of lenders.

Equipment financing

Companies in metal intensive industries often have significant equipment needs. Some banks and lenders have negative preconceptions about commodity-intensive businesses, making it difficult for these companies to secure equipment financing on the most favorable terms. Equally, the highly specialized nature of the equipment can sometimes add to this challenge. With Kilo’s deep knowledge of commodity intensive industries, we can often present a competitive and tailored equipment financing package.

Owned Inventory

Kilo will use its balance sheet for aging product or to stockpile ahead of seasonal demand

Price Locks

Outsource your Treasury functions to Kilo by locking in the forward price for a set quantity of commodity for an estimated time period. Give your procurement team more options over deciding when to lock in prices and when to adjust commodity surcharges.

Raw material supply & procurement management

You dictate the specs and supplier; we ship product to your facility. You decide restocking level to ensure JIT inventory access. Lock in price for set periods and volumes, or buy on a spot basis.