Inventory Lending Guide and the Top 10 US Inventory Lenders
Inventory lending lets a company borrow against the stock it holds, from raw materials to finished goods. For distributors, manufacturers, retailers, and consumer brands, it turns cash tied up on shelves into working capital.
This guide explains how lenders size an inventory loan, what they check, and which US lenders are most active, from bank ABL desks to platforms for smaller brands.
How Inventory Lending Works
Most inventory loans are part of an asset-based lending (ABL) facility. The lender sets a borrowing base, which is the amount you can draw at any time, calculated as an advance rate applied to eligible inventory and usually receivables too. As stock and sales move, the borrowing base moves with them.
The advance rate is normally tied to net orderly liquidation value (NOLV), meaning what an appraiser expects the inventory to fetch in an orderly sale, after costs. White Oak, for example, advertises advances of up to 100% of appraised inventory NOLV. Inventory that is slow-moving, obsolete, consigned, in transit, or held offshore is often excluded or advanced at a lower rate.
Revolving Lines
The most common structure. You draw and repay as inventory is bought and sold, with availability reported weekly or monthly.
FILO and Term Loans
A first-in, last-out tranche or term loan stretches availability above the standard advance rate, at a higher price.
What Lenders Check Before They Lend
- Appraisal. An independent firm values the inventory on an NOLV basis, by category and location.
- Field exam. The lender's examiners test your stock records, cost accounting, aging, and margins against your books.
- Turnover and shelf life. Fast-moving, durable goods with a clear resale market get better terms than perishable, seasonal, or highly customised stock.
- Controls. Lenders want perpetual inventory systems, regular cycle counts, and clean reporting, because the borrowing base depends on them.
- Cash flow and leverage. Even in an asset-based deal, the lender reviews earnings, existing debt, and liens on the assets.
Top 10 Inventory Lending Companies in the USA
The list runs roughly from the largest facilities to the smallest. Facility sizes come from each lender's own materials or recent announced deals.
1 Wells Fargo
One of the largest bank ABL providers in the US. Its asset-based lending group lends against receivables, inventory, and fixed assets through a borrowing base, with a focus on asset-heavy and seasonal businesses such as retailers.
Best for large companies with strong reporting that want bank pricing.
2 Eclipse Business Capital
A Chicago-based non-bank lender providing senior secured facilities from USD 10 million to USD 450 million against receivables, inventory, equipment, real estate, and IP. In November 2025 it agented a USD 450 million ABL facility for a long-established retailer.
Best for mid-sized and large borrowers that have outgrown or fallen out of bank ABL.
3 White Oak Commercial Finance
Offers ABL facilities up to USD 250 million with three to five year maturities, accepting inventory, receivables, equipment, real estate, and IP as collateral.
Best for borrowers that need high inventory advance rates.
4 Siena Lending Group
A Stamford, Connecticut lender providing ABL revolvers and term loans of about USD 10 million to over USD 100 million, underwritten on receivables and inventory. It also does DIP and exit financing. In July 2026 it closed a USD 105 million facility for a frozen food processor.
Best for turnarounds, restructurings, and inventory-heavy borrowers.
5 Gibraltar Business Capital
A Northbrook, Illinois non-bank lender offering ABL revolvers, term loans, FILO, and stretch facilities of roughly USD 10 million to USD 100 million, with a core range of USD 25 million to USD 75 million ( SFNet).
Best for middle-market manufacturers and distributors.
6 Gordon Brothers
Combines appraisal and liquidation expertise with ABL, FILO, and RILO facilities. Where a secured loan against inventory isn't possible, it can buy the inventory and sell it on consignment instead.
Best for retailers and brands with complex or stressed inventory.
7 Second Avenue Capital Partners
A Schottenstein affiliate focused on retail and consumer products, lending against inventory and receivables. Recent deals include USD 10 million revolvers and a USD 25 million term loan for furniture, home furnishings, and beauty companies.
Best for retailers and consumer brands.
8 SLR Business Credit
Provides asset-based structures of up to USD 250 million and is active in the lower middle market. In March 2026 it closed a USD 5 million ABL revolver to refinance a packaging distributor's bank facility.
Best for smaller distributors leaving a bank.
9 Rosenthal & Rosenthal
A New York family firm with more than 85 years in factoring, ABL, purchase order finance, and inventory financing, lending from USD 500,000 to over USD 30 million ( IFA, 2024).
Best for importers, apparel, and food companies needing smaller lines.
10 Kickfurther
An online platform where a community of buyers funds inventory for consumer product brands on consignment. It funds up to 100% of inventory costs and up to USD 5 million, with repayment as goods sell. Brands need at least USD 200,000 in trailing 12-month net sales.
Best for early-stage consumer brands too small for ABL.
Side-by-Side Comparison
| Lender | Type | Facility Size | Typical Borrower |
|---|---|---|---|
| Wells Fargo | Bank ABL | Large, not published | Large retailers and asset-heavy companies |
| Eclipse Business Capital | Non-bank ABL | USD 10m to 450m | Mid-sized and large borrowers |
| White Oak Commercial Finance | Non-bank ABL | Up to USD 250m | Middle market |
| Siena Lending Group | Non-bank ABL | USD 10m to 100m+ | Turnarounds, inventory-heavy companies |
| Gibraltar Business Capital | Non-bank ABL | USD 10m to 100m | Manufacturers and distributors |
| Gordon Brothers | ABL and inventory purchase | USD 10m to 200m+ | Retailers and brands |
| Second Avenue Capital Partners | Retail ABL | Around USD 10m to 25m | Retail and consumer products |
| SLR Business Credit | Non-bank ABL | Up to USD 250m | Lower middle market |
| Rosenthal & Rosenthal | ABL, factoring, PO finance | USD 0.5m to 30m+ | Importers and small to mid-sized companies |
| Kickfurther | Consignment platform | Up to USD 5m | Consumer product brands |
How to Choose an Inventory Lender
Match the lender to your size. Most non-bank ABL lenders start around USD 10 million. Below that, look at lenders like Rosenthal or SLR, or a platform like Kickfurther.
Compare availability, not just the rate. A lower interest rate means little if the advance rate, eligibility rules, and reserves leave you with less to draw.
Count the full cost. Add up unused line fees, appraisal and field exam costs, collateral monitoring fees, and early termination fees.
Prepare your reporting first. Clean inventory records, a recent appraisal, and monthly borrowing base reports shorten diligence and improve terms.
Get a Lender-Ready Inventory Facility
FG Capital Advisors prepares the credit package, borrowing base analysis, and lender shortlist for inventory and asset-based facilities, then runs the process through to term sheet and closing.
Request an EstimateThis list is based on public information from each lender and recent announced transactions, and is not a recommendation or endorsement. FG Capital Advisors is not affiliated with the lenders named. Lending criteria change, so confirm terms directly with each lender.
