Invoice Financing - Business Financing Alternatives
One of the bigger challenges of doing business with commercial or government clients is that they always pay their invoices 30 to 60 days after receiving them. Although more established firms can usually afford to wait - many small and medium sized businesses can’t. They must meet payroll, pay rent and cover other business expenses, while waiting to be paid themselves.
Most business owners would not be looking for a small business loan if their clients paid quickly. One effective way to solve this problem is to use invoice financing.
We can finance your open invoices:
Invoice financing offers a simple solution to this problem. It eliminates the payment wait by providing you with an advance on your slow paying invoices. The working capital infusion provides immediate funds that can be used to pay current business expenses and to pursue new opportunities.
Invoice financing integrates easily into most companies. The process works like this:
- After completing your work, you invoice your client
- You send us a copy of the invoice for financing
- Your company gets an immediate 80% advance on the invoice
- Once your client pays for the invoice, you get a second advance of 20%, less the financing fee.
Invoice financing benefits:
Financing invoices can help companies improve their cash flow by providing working capital to pay:
- Suppliers
- Employees
- Rent and other expenses
However, the biggest advantage of financing your invoices is that it eliminates the uncertainty of waiting to get paid. It provides predictable cash flow and stability. Also, invoice financing is easier to obtain that other forms of financing. We consider your invoices to be your most important asset, which means that companies with a solid roster of client invoices as good candidates.
Most companies that have commercial sales can qualify for this type of financing, provided their clients have good credit, their invoicing practices are good and they are free of liens and encumbrances. This makes invoice financing more accessible than conventional small business loans.
Pre qualification Criteria:
- We can only work with established businesses
- You must have good commercial or government clients (no exceptions)
- You must use the working capital to pay suppliers, employees or operating expenses
Would you like an invoice financing quote?
Would you like an invoice financing quote? Please fill out this form for an instant quotation.
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