Debtor Factoring: Cash Now, No Waiting, No Debt… Other Sellers Are Doing It, Will You Be?

What are your loss for NOT using factoring?

Consider the time value of money as well as the benefits of improved cash flow to your business. Paying your suppliers is possible through having cash within 24 hours so you could also receive better discounts too. Could you fulfill your next order to XYZ Company and make payroll without tapping your line of credit with the bank? Might it be possible for that you offer longer terms to larger customers and get more business? Can improved earnings help your business grow or survive without incurring more debt at the bank? Can the financial benefits of improved cash flow to your business offset the fees of debtor factoring, and more? Sure it can, the savings alone in taking discounts from your vendors can equal the cost of Factoring. You can keep those other savings! Factoring is a smart business decision. So why not do it?

Is cash required immediately for growth or survival?

Are long billing cycles putting a strain on your business cash flow? Despite increasing sales, does the control over receivables and payables seem like a juggling act? Will your sales improve that you will be able to offer better terms with new and larger customers? Are you spending too much time collecting from slow paying customers and not enough time building your business? Is your bank turning you down for traditional financing on account of years in business, profitability, insufficient assets, personal guarantees or financial strength?
Have you contemplated turning away new business due to slow earnings? Debtor factoring is actually a solution made to fix the many challenges many businesses face today.

Benefits of Debtor Factoring

Simplicity
The advanced funding you receive for your receivables as well as the discount fees you will pay are based solely about the financial strength and credit worthiness of the customers, not your business!

You receive Cash for your unpaid accounts receivable invoices. The invoices of your business is purchased with an amount less than its actual face value (70-90%) by the factoring company. Once the Factor later collects the full amount of the invoice from your client, you’ll receive the remainder of the advance less the factoring fee (discount rate). Fees will vary depending on the total amount of money you intend to factor from month to month.

Flexibility

Are you needing a financial solution flexible enough to assist your business to become more competitive while improving supplier discounts, credit rating and cash flow? Factor as much as your want or as little as you want. It’s your choice. No obligations. There are No minimums and No maximums from the amount you can factor. No binding contracts, if that is what you would like.

Unlike traditional bank financing,debtor factoring depends on the financial strength and credit worthiness of your customers, not you. Here’s why you should use debtor factoring services:

Win More Business- Offer Better Terms

With Factoring, you can attract more business offering better terms on your invoices. With factoring, it is possible to negotiate with terms instead of price unlike what many businesses does.

With your customers, better terms can be more attractive than better prices.
When using attractive terms to win business, you can build the cost of factoring into your costs of goods and services.

Example: A different customer may choose to do business with your company because you can offer NET 30 or NET 45 terms while your competitor (who isn’t factoring) requires payment up front but includes a 3% better price. It’s possible to leverage factoring services to win the business at no extra cost and improve your cash flow likewise like factoring the subsequent invoice at a discount of 3%.

Improve Cash Flow* NO Additional Debt *WIN over customers

Your Business Receives:
* Instant cash in just 24 hours or less from your outstanding invoices! Eliminate long billing cycles.

* No new debts are created. Factoring is not a loan. This allows you to preserve your financial leverage to take on new debt.

* Improved credit rating.

* Expand your business by purchasing capital equipment.

* Increase inventory for quicker shipments or handle seasonal inventory needs.

* Promote for additional business.

* Take trade discounts. You’ll have more saving and may outgrow your factoring fees through these discounts alone!

* Pay off nagging, expensive delinquent obligations.

* End payroll worries.

* Meet tax requirements on time. No more exhaustive penalty fees.

* Negotiate discount purchasing.

* Unlimited sales and profit potential.

If you are looking to receive a rise in cash flow and improve your bottom line profits, you need to use debtor factoring now!

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