A self-liquidating loan is a form of short- or intermediate-term credit that is repaid with money generated by the assets it is used to purchase.The repayment schedule and maturity of a self-liquidating loan are timed to coincide with when the assets are expected to produce income.
Regardless of the reason you might have for your liquidating inventory, you must have a strategic goal.
Products that have reached the end of their life could be among the inventory that a business needs to offload.
Additionally, a business owner might need to get rid of defective products.
Also, be sure to receive multiple quotes for your merchandise before making your final determination.
Liquidating your inventory is not the end of the world.
These loans are intended to finance purchases that will quickly and reliably generate cash.