Improve cash flow, eliminate debt & reduce operating expenses

Factoring can be the ideal solution for companies that need access to working capital for growth, have credit worthy accounts receivable, but don't qualify for conventional forms of lending. When rapidly growing companies may not qualify for traditional loans, we can help by offering flexible financial options through relationships with various lenders.

While factoring can certainly benefit businesses with cash flow needs, there are many additional reasons a business owner should consider factoring.

Elimination of bad debt. A non-recourse factor will assume the risk of bad debt, thus eliminating this expense from the business' income statement.

Invoice processing. Factors handle much of the work associated with processing invoices, including posting invoices to a computer system, depositing checks, entering payments in the computer and producing regular reports.

Offer credit terms to customers. With factoring, businesses can offer credit terms (or extended credit terms) to their customers without negatively impacting their cash flow. The business can grow by making it easier for customers to buy from them.

Unlimited capital. Factoring is the only source of financing that grows with sales. As sales increase, more money becomes immediately available. This allows the business to constantly be able to meet increasing demand.

Take advantage of early payment discounts and volume discounts. If a business can save 2 - 5% of their raw materials cost because they have the cash to pay within ten days, this significantly reduces the true cost of factoring. Coupled with the ability to make volume purchase with the cash advances, they will likely save even more money.