The Problem
alder needed access to working capital to fulfill purchase orders. For a modern, fast growing business, getting financing from the banks proved to be difficult
In their pursuit of working capital solutions, alder encountered the signature Canadian banking system's risk-averse nature. Securing a credit card with a sufficient limit proved challenging, pushing alder to seek a more flexible and forward-thinking financial services provider.
Even for an ecommerce operation this size, alder could only get up to a $10k limit for a credit card. Not even enough to cover monthly ad spend.
Loop quickly emerged as the ideal partner, offering higher credit limits and tailored financial solutions thanks to a deep understanding of the unique challenges faced by entrepreneurs.
The Solution
Unlocking faster growth with Loop’s international banking platform and tailored capital solutions
alder was able to use Loop’s US-domiciled financial services to capitalize on favorable foreign exchange rates and reduced transaction fees, providing a solid foundation for financial success. Paying suppliers, shippers and vendors in the US traditionally means wire fees, long payment times and FX fees.
But with Loop enabling companies to do their USD banking in the USA, alder could do business in the US as if they too were an American business. This meant free transfers on the local ACH network, no conversion fees and rapid payments. Keeping their American suppliers happy added the extra juice alder needed for faster US expansion.
More growth also requires more inventory. Loop's purchase order financing emerged as a cost-effective alternative, allowing alder to fund inventory and fuel expansion without diluting their ownership.
Loop is one of the only banking platforms in Canada that offers entrepreneurs the option to finance large orders so you can grow now and pay later. Moreover, the terms are mandated to be entrepreneur-friendly with lower financing costs than alternative options and repayment tied to business milestones rather than suffocating cash flow with options that take a % of daily sales.
The Results
alder maintained ownership, saved time and found a solution that enabled them to take on new large orders to grow their business
Loop's purchase order financing proved to be a cost-effective way for alder to fund their inventory and expansion plans without diluting their ownership. This enabled alder to have the necessary resources for growth while maintaining control over their business.
Sending payments across the border also means doing foreign exchange. With Loop, Jody is
able to get the best rates when converting CAD to USD and converting USD revenue back to
CAD. This means more cash flow back in the hands of Sundays to focus on other growth
initiatives.
Loop's payment portal proved to be a game-changer for alder. Compared to traditional banking portals, the efficiency and convenience of Loop's platform streamlined payment processes for vendors. By consolidating financial operations into one centralized system, alder saved more than 6 hours every week with seamless money movement and by eliminating the bureaucracy associated with multiple platforms. Rapidly growing businesses need access to rapid banking services.
alder highly recommends Loop to any entrepreneur going on an adventure. Loop's commitment to addressing entrepreneurs' pain points aligned perfectly with alder's vision. Beyond providing financial services, Loop became a supportive sounding board for financial matters, reinforcing the bond between alder and their financial partner.
This is a brief blurb that should summarize what loop does. Maybe it will serve as a brief intro to some of the features?
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