Volcon Inc. Secures Factoring Agreement with Prestige Capital Finance to Accelerate Growth
Volcon Inc., the leading all-electric, off-road powersports company, has achieved a significant financial milestone with the formalization of a factoring agreement with Prestige Capital Finance. This strategic partnership will provide Volcon with access to immediate cash, enabling the company to expedite its growth plans and meet the anticipated demand for its groundbreaking electric vehicles.
Under the agreement, Prestige Capital Finance will pay Volcon 80% of the eligible US powersport dealer invoice values upfront, with a maximum fee of approximately 5% per invoice if financed over the full 90-day eligibility period. The remaining 20% of the invoice amount, less fees, will be paid to Volcon upon collection by Prestige. It is important to note that all invoices factored under this arrangement are fully recourse back to Volcon in the event of nonpayment.
This new financial tool will provide Volcon with immediate access to capital, allowing the company to maintain a healthy inventory flow of its flagship product, the Stag, and fulfill customer orders promptly. Greg Endo, Chief Financial Officer at Volcon ePowersports, expressed his enthusiasm for the factoring agreement, stating, “We are thrilled to enter into this partnership with Prestige. This arrangement will position us to become an industry leader by ensuring we have the necessary resources to continue our journey towards sustainable growth.”
Volcon ePowersports remains committed to delivering high-quality electric vehicles and accessories that push the boundaries of innovation. The factoring agreement with Prestige Capital Finance is another step forward in their pursuit of sustainable growth and success.
Prestige Capital Finance, with its extensive experience in providing cash advances to early-stage and mid-size companies, will support Volcon’s growth plans by converting accounts receivable into immediate working capital. This collaboration will enable Volcon to access financing faster than traditional bank loans, catering to the unique needs of the powersports industry.
Based in the Austin, Texas area, Volcon is the pioneer in all-electric powersports, producing high-quality and sustainable electric vehicles for outdoor enthusiasts. Their vehicle lineup includes motorcycles and UTVs designed to offer a near-silent operation and immersive outdoor experiences. Volcon’s commitment to innovation and environmental consciousness has positioned them as a frontrunner in the industry.
With the factoring agreement in place, Volcon is well-positioned to continue its expansion and meet the growing demand for its electric vehicles. The company’s dedication to delivering exceptional products and its strategic partnerships will undoubtedly contribute to its future success.
For media inquiries, please contact media@volcon.com. Dealers can reach out to sales@volcon.com, while investors can contact investors@volcon.com.
Volcon’s product range includes the Stag, Brat, Grunt, Runt LT, and the Volcon Youth Line. More information about these offerings can be found on the Volcon website.
About Volcon, Inc:
Volcon, Inc., headquartered in Austin, Texas, is the first all-electric powersports company dedicated to producing high-quality and sustainable electric vehicles for the outdoor community. Their innovative products offer an environmentally friendly and thrilling off-roading experience.
About Prestige Capital Finance, LLC:
Prestige Capital Finance, LLC has been providing cash advances to early-stage and mid-size companies since 1985. With a focus on converting accounts receivable into immediate working capital, Prestige Capital Finance helps businesses grow and turn around their operations.