Paragon Financial Group is funding during the COVID-19 crisis.

Agricultural Supply Chain Funding with PACA

As a part of being in the agriculture industry, you have worked hard to create, import, or distribute the perishable fruits and vegetables that keep American families healthy. As a backbone of American society, you deserve to have the confidence and comfort of being able to grow your business and take care of your family with consistently available cash in the bank.

Agricultural Supply Chain Funding with PACA

Fast Funding for Your Agricultural Company

Factors understand that when it comes to perishable goods, how difficult it can be to find a PACA lending source who understands and is willing to work with the complexity. With the Perishable Agricultural Commodities Act (PACA) rules, perishable goods have special lien rights and regulations.

Understanding and dealing with the PACA rules and how it affects a financing package can be daunting for many lenders. The PACA trust puts most lenders at a disadvantage and creates an unwanted risk to them. Until suppliers of perishable agricultural commodities to a borrower are paid in full, a secured lender’s security interests are overruled by the sellers’ PACA claims.

At Paragon, our team knows how to navigate PACA rules and provide the agriculture industry with successful funding packages.

What Are the Benefits of Agricultural Factoring?

  • We understand PACA Lending and Regulations
  • Cash in your hands in as little as 24 hours
  • Up to 90% advanced on Your Invoices
  • Payroll funding available
  • IRS issues and liens can often be a non-factor
  • Pre-approve your client’s credit
  • 27 years servicing the agricultural industry
  • Credit protection against bankruptcy through Paragon’s Non-Recourse Factoring

What is PACA?

The Perishable Agricultural Commodities Act (PACA) are rules and regulations that help fresh and frozen fruits and vegetable sellers with vital protections to cover legal disputes as well as financial protections for the produce sellers. Protections include prioritizing payments to sellers if a grocery store files for bankruptcy and dispute resolution should one arise. There are requirements to gain these protections, such as being licensed by the USDA.

PACA was explicitly designed to help the produce industry protect themselves from mediators and grocery chains. It has also opened up opportunities for sellers to get secure funding to speed up their agriculture receivables collections and to understand that vital cash in the bank even faster.

The Agricultural Marketing Service is responsible for administering PACA and its related services to the produce industry.

What is Agriculture Factoring?

Agriculture factoring helps to keep market shelves filled with your produce – and more of it. Agriculture receivable factoring provides you with non-recourse funding on your open accounts receivables in record time, giving you the critical working capital immediate you need to run your business. Traditional banks often will not loan you money, their loan approval process takes an exorbitant about of time, or they won’t deal with PACA.

For the business owner who uses agricultural factoring from Paragon Financial, they receive fast, affordable funding releasing you from the uncertainty and worry of getting paid. You get the peace of mind that the cash flow will be there to keep your business running smooth.

Paragon Financial can help by providing the cash on your accounts receivables produce sales, you can then offer even more high-quality products to stores. On that additional round of shipments, Paragon will still be there to get you funding and payment sooner.

Even in one-off cases of spot financing, Paragon Financial can help get you that bridge to cover your payroll funding or order financing cash flow to bridge you into the next sales and receivables cycle.

Let Paragon help you maximize your business’s supply chain and annual sales by accelerating your collection period with its agricultural factoring offers.

Who Can Qualify for Agriculture Factoring?

  • Companies along the Supply Chain that Follow PACA Rules and have a USDA License
  • Startups, Turndowns, Bank Exiting or underperforming Banking Relationships
  • Personal Credit of Owner is not an issue; we look at your customer’s ability to pay
  • Businesses looking for Competitive Finance Rates
  • Fast-Growing Companies with sales of $25,000-$3,000,000 per month
  • Paragon can move Quickly on New Client or High Growth Client Approvals

What is the Cost for Agriculture Financing?

Use our powerful invoice factoring calculator to get an idea of factoring rates. For an exact quote, fill out our fast, one-page secure application.

Want your working capital issues solved anywhere along the agriculture industry supply chain?

Apply Securely, call 888-400-5931 ext 1 or email us.

Money When Your Business Needs It Most!™

  • Get Cash Today

    Best Factoring CompanyGet the Cash You Need Today

    Just fill out this quick & easy form!

  • This field is for validation purposes and should be left unchanged.
Get Cash Today
  • Quick Contact Form
  • This field is for validation purposes and should be left unchanged.

Back to Top

Best Factoring Company

Get Started Immediately