How does an IM transaction work?23 Oct 2022 17:59
Can someone talk me through the transaction cash flows.
I'm a manufacturer with 100k of goods sat in the warehouse that aren't due to the customer for 6 months. So I come to syme to monetise the stock. Syme give me 100k. Have they lent me 100k or have they purchased the stock for 100k? What happens 6 months down the line when the stock is due for delivery? Who has legal title to the stock at this point, syme or me? Do I need to buy it back off syme before delivering to the customer? What are the vat implications? What is the cost to my business of having 100k from syme at my disposal? What profits are syme expected to make off this transaction? Would appreciate if anyone has worked this through they could share and help my understanding.