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Purchase Order Finance

Quick Answer

What is Purchase Order Finance?

PO finance pays your suppliers against a confirmed customer order, so you can fulfil orders you could not otherwise afford.

Purchase Order Finance explained

The funder assesses the order and your customer’s strength more than your balance sheet. Repayment happens when the end customer pays. A lifeline for tender winners.

Who it applies to: Businesses holding confirmed orders without cash to fulfil them.

Cost: A margin on the funded amount.

Related terms and guides

Official source: Gov.za

Always verify this information with official South African government sources. Rules, fees and thresholds change. Check SARS, CIPC, the Department of Employment and Labour or gov.za before you act.

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Last reviewed: September 2026 by the BizAnswers editorial team. How we write and check our guides.