A Reseller's Guide to Finding Financing for Buying Phones in Bulk

Why Financing is Important in the Mobile Wholesale Business

To buy wholesale phones, especially high-end unlocked ones like iPhones and Samsung Galaxy devices, you need a lot of money. Even a small shipment can cost tens of thousands of dollars. Financing has a lot of benefits, such as

• Keeps inventory levels steady while improving cash flow
• Lets you grow your business strategically without waiting for sales
• Protects against spikes in demand during certain times of the year
• Keeps working capital safe for staffing, marketing, and logistics

In the end, it helps you do the most important thing: grow with confidence without hurting operations.

1. Net Terms (Net 30, Net 60, Net 90)

Net terms let you get your inventory right away and pay for it after a set amount of time, usually 30, 60, or 90 days.

Pros:

• Short-term loans with no interest
• Can handle a lot of orders
• Over time, it builds up trade credit

Best for: Regulators who have good relationships with their suppliers

2. Factoring Invoices

When you factor, you sell your unpaid bills to a third party (a factor) who gives you cash right away, usually 80–90% of the bill's value.

Good things:

• Quick access to cash
• Very little credit risk
• No need for more debt

Best for: Businesses that have big clients or B2B accounts that need to pay their bills quickly

3. Financing for Purchase Orders

This means that a lender gives you the money you need to pay a supplier for goods you've already sold (through a PO). When your customer pays you, you pay back the lender.

Pros:

• Helps you fill big orders without paying in advance
• Easily scales with volume

Best for: Resellers who sell things ahead of time or have retail contracts

4. Financing for Inventory

You can use your inventory as collateral for a loan or credit line with this option.

Pros:

• Funds future orders with existing stock
• Terms of repayment that are flexible

Best for: Businesses that have regular sales cycles

5. Business Credit Line

You can use a revolving line of credit to buy inventory when you need to.

Pros:

• Can be used again and again and is flexible
• Not as much interest as credit cards

Perfect for: Resellers who want to be able to change things up

6. Today's Closeout Partnership Choices

Today's Closeout is mostly a direct wholesale distributor, but we do offer custom solutions for clients who buy a lot of things, such as:

• Prices that have already been agreed upon for regular orders
• Credit terms based on volume for qualified buyers
• Dedicated account managers to help with planning cash flow

Contact us to learn more about our customized support for MVNOs, enterprise clients, and partners with a lot of business.

How to Pick the Best Way to Get Money

• Understand your sales cycle. Net terms may be possible for fast-moving inventory, but factoring may be needed for long B2B cycles.
• Look at the total cost. Some ways to borrow money have low interest rates but high fees.
• Check what you need to do to get approved. Often, your credit score, how long you've been in business, and your sales history are important.
• Begin small. Try one option before moving on to bigger financing programs.

Frequently Asked Questions

Is it common for wholesale phone companies to offer financing?

Yes, a lot of resellers and MVNOs use financing to handle cash flow and grow without having to put in a lot of money up front.

How good does my credit score have to be for net terms?

There are differences between each wholesaler. At Today's Closeout, repeat customers who have a good payment history may be able to get net terms.

Can I get a loan for both new and used phones?

Yes. Most ways to get money, like PO and invoice factoring, work for both new and used inventory as long as the value can be proven.

Is there financing available from Today's Closeout?

We offer flexible credit terms and volume programs that happen on a regular basis to B2B clients who meet our requirements. Talk to your rep about your options.

Will financing slow down the delivery of my order?

No. When done right, financing makes things go more smoothly and often speeds up fulfillment by guaranteeing supply commitments.

What papers do I need to get a loan?

In general, you need a business license, a tax ID, proof of income, and a credit check. Some factoring companies might ask for invoices from customers.

What You Should Remember

Financing isn't just for big companies; it's also a great way for serious resellers and IT buyers to grow their businesses smarter. You can keep your shelves full and your business running without using up all your cash by using net terms, invoice factoring, or supplier-based credit programs.