Financing Solutions for Your Manufacturing Business
Power Your Growth
The U.S. manufacturing industry plays a vital role in the country’s economy, contributing over $2.3 trillion annually to GDP and employing more than 12.8 million workers. As the backbone of industrial production, manufacturers are constantly seeking ways to improve efficiency, expand capacity, and stay competitive. With the rise of automation, technology integration, and global competition, businesses in the manufacturing sector need access to capital to maintain their edge.
At Haro, we specialize in providing tailored debt and equity financing solutions that support the unique needs of manufacturers. Whether you’re upgrading equipment, expanding production, or managing working capital, Haro is here to help your business achieve its full potential.
Debt Financing Options for U.S. Manufacturing
Asset-Based Loans
Manufacturers often possess valuable assets like machinery, equipment, and inventory. Asset-based loans allow businesses to use these assets as collateral to secure financing. This option provides fast access to capital, ensuring manufacturers can fund operations, expand facilities, or make new investments without selling essential assets.
SBA Loans
SBA 7(a) and SBA 504 loans are popular choices for manufacturers seeking long-term financing with competitive terms. SBA 7(a) loans are flexible and can be used for working capital, purchasing equipment, or refinancing existing debt, while SBA 504 loans are ideal for significant investments like purchasing real estate or large machinery. These loans are known for their favorable terms and low down payments, making them an attractive option for manufacturers.
Lines of Credit
A line of credit is a flexible financing tool that allows manufacturers to access funds as needed for day-to-day operations, material purchases, or unexpected expenses. With a line of credit, manufacturers can maintain steady cash flow even during periods of fluctuating demand or longer payment cycles.
Term Loans
Manufacturers looking to invest in long-term projects such as upgrading facilities, expanding production capacity, or purchasing new equipment can benefit from term loans. These loans provide a lump sum with fixed repayment terms, allowing manufacturers to plan for growth while managing their cash flow.
Equipment Financing
Keeping up with the latest technology is essential for manufacturers to stay competitive. Equipment financing enables businesses to lease or purchase new machinery or tools without draining working capital. This type of financing often features favorable interest rates and repayment terms, making it an ideal solution for capital-intensive industries like manufacturing.
Invoice Factoring
Manufacturers often face delayed payments from clients, which can strain cash flow. Invoice factoring allows businesses to sell unpaid invoices to a third party and receive immediate cash. This financing option ensures manufacturers have the working capital they need to continue operations and take advantage of new opportunities without waiting for payments.
Recent M&A Activity and Equity Financing in U.S. Manufacturing
The U.S. manufacturing sector has seen significant merger and acquisition (M&A) activity, driven by technological advancements and shifts in supply chain management. In 2023 alone, there was over $150 billion in M&A deals within the manufacturing industry, as companies sought to optimize production capacities, gain new technologies, and enhance supply chain resilience. As larger manufacturers aim to acquire smaller players and private equity firms look for businesses with strong cash flows and growth potential, the industry is ripe with opportunities.
At Haro, we work closely with manufacturing business owners to connect them with the right capital partners. Whether you’re considering a merger, divestiture, or bringing on a growth equity partner, Haro ensures that your transaction is aligned with your long-term goals and enhances the value of your business.
Source Capital with Haro
At Haro, we understand the unique challenges and opportunities within the U.S. manufacturing industry. Our deep expertise in debt and equity financing allows us to provide flexible solutions tailored to your business’s needs. Whether you’re expanding your operations, upgrading equipment, or preparing for an exit, our extensive network of financial partners ensures that you can access the capital necessary to grow and succeed.
Ready to Secure Your Financing?
Your manufacturing business deserves the financial resources to stay competitive and grow. Apply today and let Haro help you secure the financing you need to scale, innovate, and succeed in the dynamic manufacturing industry. Click below to get started!