"Working Capital $olutions that make $ense"

Revised:  02/08/2010

Factoring and Receivables Financing
 

Factoring Facts about Invoice Factoring, Receivables Financing, and what you better know about selecting a Factor.
 

1.)    Factoring Receivables or Invoice Factoring is a service … not just the selling of money.

2.)    Receivables Financing Pricing: The lower the price and higher the risk the less working capital is available!

3.)    Factoring Receivables is an extension of your business … and the quality of this service will directly affect the success of your   business!
 

Why do factors advertise that their prices are lower? Because they are …
 

Factoring invoices is based on risk. Factors are all in business to make what is referred to as ‘the same yield’ i.e. Factors all want to make the same return on their investment … but at what cost to you as a business owner?
 

When a bank lends the lower the rate the more covenants and when a factor funds the more ways are built into the equation for the factor to make more money … End!
 

Why not factor receivables with someone that tells you the truth right up front instead of someone that screws you on the tail end of the contract?
 

Did you know that there are three types of factoring programs and that if you factor receivables that there are many deviations of several terms that factoring clients are surprised by?

Do you know what “Up to a 90% advance means?” Factoring receivables is not a game: It directly affects your business and how much working capital you have – end!
 

Do you understand the renewal terms? Contracts to factor receivables are often times loaded with terms that renew the contract when you don’t even know that the factoring arrangement is being renewed. Why would you do business with someone like that?
 

Questions about factoring are our specialty so call us today. We’ll tell you the truth … and are proud to do so. Our clients stay with us longer than average. Why?
 

–        Factoring receivables is a simple process

–        If you factor receivables there should not be any surprises

–        The cost of factoring receivables should be an up front cost … not hidden on the back end!
 

Factoring and receivables financing accounted for more than $97 billion of invoices being converted to cash in the US last year. This occurred primarily in the growth sectors of our economy because companies that want to grow their sales in multiples versus percentages typically use this type of financing. Fixed loans and credit lines are capped, and once you make a sale, you have to wait to get paid and that is normally not acceptable to a growing company! 

With the acceleration of Cash Flow that we provide our customers don’t have to wait to get paid: They just continue on growing their sales!  If you want to take back control of your cash levels through flexible programs aligned to grow your company, call us today.

Facts you should know

·        Receivables financing or factoring let’s you strategically convert receivables to working capital.

·        Factoring doesn’t restrict how you use the funds and lets you run your business.

·        Factoring can support you by pre-screening and monitoring your customer’s credit conditions.        

·        As the owner, factoring gives you control of your cash levels so you can focus on your business, instead of chasing customers for payments and jeopardizing the relationship.

·        Factoring can be used to protect and rebuild your good credit, offer open terms to large customers, and let you take on additional work knowing that you have the working capital to succeed.

“Ernie, referring a client you is always a pleasure because people call me and thank me ... something that is always appreciated. Not only have you directly helped so many of my clients but in turn you are a great asset to our growing our practice. Although your primary focus is delivering capital the Value-Added you provide goes far beyond anything I could ever ask for!”

“When one of our clients was on the verge of being foreclosed on and you proved that you could provide the cash flow he needed to remain solvent, the bank and his creditors relaxed their pressure and let him run his business instead of him worrying about how he could pay his bills."

" ... after being promised loans that never materialized I was growing frustrated. Although all that I thought you did was get people credit lines, you aligned my whole business for me so that it all made sense again - something that I will always be thankful for!  When I met you I sensed that you took a lot of pride in seeing your customers succeed but I never expected to experience the commitment you always showed!"

• Click here for a case study of how a company needlessly lost customers and gave away 30% of its business. Financial Manager’s Resources could have helped them avoid both!

• Click here to see an example of what happens when you access the cash equity locked up in your assets

Put a proven track record to work for you today by calling Ernie @ 1-877-813-2923.