Credit Options for Channel Partners and Solution Providers

  • By

    Jessica Davis

    | Posted 2008-09-26

CHANNEL INSIDER: Use Financing to Boost Sales—Credit Options for Solution Providers

Assignment of Proceeds Financing

This kind of financing bases the deal's financing on the customer's credit worthiness and not the solution provider's. If you want to do a big deal but the distributor wants to know where you are going to come up with the money to pay it, this is a way to do it. The solution provider can ask for credit by assigning proceeds directly to the distributor, and then the reseller will issue a letter of instruction to the end user that says whatever the reseller is entitled to receive from the customer should be paid directly to the distributor.

Jessica Davis covers the channel for eWeek and Channel Insider. Her technology journalism career began well before anyone heard of the World Wide Web and has included stints at Infoworld, Electronic News/EDN, and the Philadelphia Business Journal. Her work has also appeared on CNN and Forbes.com. She has covered hardware, software and networking, as well as the business side of technology. She has won several journalism awards, including a national ASBPE award for best staff-written column, and was named Marketing Computers hardest working tech journalist on their inaugural list of top tech journalists. Jessica can be reached at jessica.davis@ziffdavisenterprise.com

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