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Question
Randal Ice needs a loan to purchase pet food and other pet supplies for his local pet store over the next six months. He has estimated that the maximum amount of inventory he will need in the next six months is $200,000 and he knows that he will have to use accounts receivables and the inventory he purchases as collateral for the loan. At the end of six months, he hopes he can get the loan renewed. What type of loan does Randal need?
A. Self-liquidating inventory loan
B. Working capital loan
C. Interim construction financing
D. Security dealer financing
E. Retailer and equipment financing
Answer
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Related questions
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