Lacked cash flow to grow due to Amazon’s 14-day marketplace payout cycle.
Secured vital seasonal inventory and Q4 gifting demands using Working Capital.
For anyone paying attention, you could say Deluxy was destined for success from day one.
As a premium online wedding gift store, Deluxy’s unique products stand out from the crowd on Amazon, with popular items like cute matching aprons and sleek wine carriers for newlyweds and engaged couples.
But it’s how they chose to scale their business that makes Deluxy extra special.
Since its launch in 2019, the premium wedding gift boutique wasted no time building their brand authority and ranking on Amazon.
The result? A huge competitive advantage.
In just two years, Deluxy went from fresh on the scene to a formidable player on Amazon, with high sales, thousands of stellar product reviews, and an active tribe of raving fans.
A strong position for a new brand. But by 2020, their success had caught up with them.
With Christmas fast approaching, the Deluxy team needed to load up on stock to capitalise on growing product demand and secure their bumper Q4 sales.
But there was just one problem: Not enough cash flow.
Thanks to Amazon’s notorious payout pitfalls, Deluxy hit a financial tight spot that threatened to slow down their momentum.
Here are some of the issues they faced:
“Since we get paid every 14 days, our cash was tied up, especially considering the amount we hold in reserve. So, it put stress on our cash flow. We’ve also been getting used to the inventory limits and restrictions that Amazon has imposed on sellers. We started working with a 3PL and opened up our own warehouse.”
All of these things demanded increased capital, and fast.
Faced with a difficult situation during one of the most critical times on the e-commerce calendar, Deluxy decided it was time to call in reinforcements.
To turn its cash flow around, Deluxy’s co-founder began hunting for a suitable e-commerce funding provider.
“We had to place a lot of orders for Q4 last year, and that’s when I started looking for funding to be able to purchase all of the inventory.”
Deluxy’s team tried traditional funding options like a credit line and an SBA loan — but they soon realized the slow application process meant they could never be long-term funding solutions.
Then they found SellersFi (formerly SellersFunding).
SellersFi Working Capital was just what Deluxy needed to get fast payments and overcome their Amazon-related hurdles.
“SellersFi gives quick access to cash. You don’t need to remember to pay every month or do a wire transfer. It’s automatic. Plus, it’s really fast.”
Since Deluxy found its perfect match with SellersFi, the Amazon store has soared to new heights.
No longer dependent on Amazon disbursements, they can now confidently plan their future investments.
Here are just some of the wins Deluxy has scored with a little help from SellersFi:
Deluxy’s partnership with SellersFi also means they can take on new opportunities stress-free, without having to worry about where cash will come from, whether they’ll get enough capital in time, or if Amazon will throw any other surprises their way.
Switching over to SellersFi helped Deluxy stabilize its cash flow, stay in stock and invest in new products. And from here, the future is nothing if not bright and profitable.
“Thanks to SellersFi, we’ve been able to continue scaling while keeping all of our products in stock.”
Ready to scale your brand?
CROSSNET fulfilled a huge order worth millions with flexible e-commerce funding . . . and landed massive contracts.
Read how Diamond Whites delighted customers and achieved 110% growth using funding for customer payment options.
Icelandic Glacial Water got the bridge capital it needed during a major funding raise for a first-of-its-kind eco innovation.