Many small business owners struggle with getting paid on a timely basis. They bill clients regularly and have thousands of dollars in outstanding receivables. Instead of a steady stream of revenues, owners are faced with how to collect on their accounts receivable invoices, without alienating their best customers.
Invoice factoring may be the ideal financial solution for small businesses facing aging accounts receivable.
What is Invoice Factoring
Many metal fabrication companies use invoice factoring to turn A/R into cash
Invoice factoring invoices is an alternative financing solution for accounts receivables. It is a quick and easy way to improve cash flow.
A fact of life for B2B small businesses is the need to extend credit to customers or “terms”, allowing invoices to be paid within 30 or 45 days. However, problems arise when customers are slow to pay or get behind on payments. The business owner still has payroll, insurance, taxes, equipment and material costs to pay for to stay in business while waiting for customers to pay.
Here is where “invoices factoring” can help. Working with one of our financial experts, we use your accounts receivables as collateral for a short-term loan and give you the cash you need to cover your expenses.
Why use Invoice Factoring
Here are a few reasons why you should use invoice factoring.
- Immediate cash flow for your business
- Faster than traditional bank loans
- More flexible than lines of credit from banks
- Borrowing based on sales volume for easy growth
- Improves cash flow and budgeting
- Finance only what you need and when you need it in most cases
Our invoice factoring experts can help you set up your factoring account and manage your cash flow. Please call us anytime for a free consultation. 1-855-220-8585
Is invoice factoring right for my business?
If you can answer “Yes” to any of the following questions, your company may be a good candidate for invoice factoring.
- Do you extend credit terms to your customers? (Net 30 days, Net 45 days, or Net 60 days)
With invoice factoring, your cash from account receivables can be in the bank today, giving you better control over your expenses and your business.
- Do you have customers on contract? (monthly, quarterly or yearly)
Invoice factoring puts the cash you will collect in the future – in your bank account today! This accelerated cash flow allows you to meet your expenses and budget comfortably.
- Do you have a contract with a government agency? (Sub-contractor or vendor)
Invoice factoring is an ideal financial solution for government sub-contractors and vendors who don’t want to wait 30 or more days to be paid. So if you are working as a vendor for a school district, county, state or city agency, the military or any governmental agency, give us a call to shorten your payment cycle.
- Your company has good customers but needs money to grow?
With invoice factoring your business can leverage your loyal customer base and get the cash you need to expand into other areas. You can increase the number of receivables in your factoring account anytime, so you can grow as fast as you want or need to.
- Is your company’s biggest expense payroll?
Invoice factoring your invoices is a good way to meet your payroll on time. Invoice factoring is the fast way to bring in the cash you need for your ongoing business expenses like payroll, insurance and taxes.
- Is your company growing faster than the cash in your bank account?
Invoice factoring allows your cash reserves to grow as your business grows. New customer accounts can be included in your invoice factoring account anytime, so you can stay on top of expenses and continue to grow.
Invoice factoring is an ideal solution for companies of any size. Before you decide, give our financial experts a call for a free evaluation. We’ll discuss your business needs and help you determine if “invoice factoring” is right for your business.
How invoice factoring works for small businesses
Factoring with Business Finance Solutions (BFS) is easy. It starts with a phone call and a free evaluation of your accounts receivables. Our financial experts will open a factoring account for you so your money can be directly deposited into your bank account.
Anytime you have a new invoice to factor, simply send in your scanned invoice for prompt payment. Most invoices are advanced 80-90% of the invoice value and your cash is deposited directly into your bank account. When your customer pays the invoice – a small fee and the loan amount is deducted from the amount collected and the balance is returned to you.
Invoice factoring with Business Finance Solutions gives you:
- Reasonable Rates – Easy to understand and fair rates to businesses of all sizes
- Flexible Accounts – Factor only the invoices you want. There is never a monthly minimum of invoices to factor.
- Stay In Control – No contract terms so you can stop factoring at any time
- Friendly Service – Our friend team of financial experts are standing ready to assist you
How do I start Factoring?
It’s easy. Call our friendly financial experts at 1-855-220-8585 for an application. We’ll email or fax you a simple application form and help you answer any questions. In many cases we can get you cash within 7 days!
Read how to avoid unscrupulous factoring companies.
Once we receive a completed invoice factoring application, we’ll call you and walk you through the easy process of submitting your invoices.
In nearly all cases the cost to set up an invoice factoring line is very minimal. You are always in control of what invoices are factored and how often you use the factoring service.
Why use Business Finance Solutions for Factoring
Business Finance Solutions has helped hundreds of small businesses use invoice factoring and manage their cash flow. Our principals have funded over $400 million in loans over the past 19 years. Our financial experts are on call to help you grow your business and can assist you with bank lines of credit, SBA loans, asset based lending, international letters of credit and other alternative financing options. We will help you find the right financial solution for your business.
Business Finance Solutions wants your company to grow and succeed so we:
- Handle your account with professional care
- Work quickly to get your business the cash you need, and
- Assist you in finding the best financing options for your business.
For more information, please call our friendly financial experts today 1-855-220-8585 or use our handy contact form.
Our invoice factoring experts are standing by to help you. Call 1-855-220-8585!
Brokers: Business Finance Solutions also accepts factoring referrals from clients and Brokers. (We offer generous referral fees.) Let us help your business associates succeed too!