Despite a recent drop in consumer confidence, lagging retail sales and falling consumer spending, economists who represent big box stores, such as Walmart and Target, are still upbeat about the future of the U.S. economy.
This confidence could bode well to a number of different parties, but especially small- and medium-sized manufacturers. Receiving an order from Walmart and Target is considered to be a "game-changer," but often come at a considerable expense to manufacturers. To keep from missing out on such an opportunity, purchase order financing may be used to take advantage of this often rare opportunity.
According to a survey conducted by the National Association of Business Economics, nearly 72 percent of its members anticipate the national economy to expand at an annual rate on 2.1 percent between the second quarter 2013 and the same three-month period in 2014, the Wall Street Journal reports.
"Most of them treated the second quarter as a temporary lull," NABE president Ken Simonson told the newspaper. "They still expect expansion going forward."
This positive outlook comes despite a recent drop in consumer confidence from a five-year high just weeks earlier, the Bloomberg Consumer Confidence Index reports. During the week ending July 14, the measurement fell to minus-28.4, marking the first decline in five weeks. However, despite the drop, retail sales remained relatively unchanged.
Strong retails sales keeps the majority of economists optimistic for the future, and it should keep small- and medium-sized manufacturers confident, as well. Crossroads Financial has a number of financing options to fill orders and take advantage of unique business opportunity. By establishing a revolving line of credit, manufactures can receive up to 100 percent of the cost to cover such transactions.