Accounts Receivable Financing

Accounts receivables financing is an important tool for all businesses, but works especially well for young companies, which can typically have cashflow problems during the early going. In fact, accounts receivables financing is at the core of many successful business stories, as it provides cash based on your receivables, and uses your customer invoices as collateral.

Are You Financing Your Customers?

Unless your company is actually a finance company, you probably never had any intention to finance your customers. But most companies do. In fact, based on recent statistics, over 90% of business-to-business companies in the United States operate using the old "accounts receivables" model, which can sometimes see their customers holding back payment for 30, 60 or in the worst cases, 90 days. The fact is, if your company does not get paid in advance for your products of services, you can likely use accounts receivables financing, or factoring, as it is otherwise known. Most companies need cash to pay employees and suppliers now, which means waiting 30-90 days is simply not an option.

The Typical Accounts Receivable Financing Customer

Factoring your accounts receivables simply frees up cash for your business - simply, and without hassle. Many banks do not provide credit to companies with less than two years of experience, so many entrepreneurs are limited to other credit vehicles, such as credit cards, which can mean hugely expensive financing charges. Small companies typically benefit the most from accounts receivables financing, simply because the process rides more on the credit-worthiness of your customer than on your own company credit history. So basically, the more sales you have, the more access to capital you have. And the more capital-intensive your business, the better you can benefit from accounts receivables financing.

Our typical customers range from manufacturers to consultants who typically deal with businesses and must extend credit. Accounts Receivables financing ensures that you have access to the capital you need to take advantage of discount prices from suppliers, or pay your employees.

See how the accounts receivable factoring process can help you. Apply here today!