O1213
Title
8
reasons
1
invoice factoring may be right
TITLEYOUR
FOR
2
SMALL BUSINESS
Sometimes it can be difficult to stay afloat when you’re dealing with daily
business expenses and demands. Or maybe your company’s business
is steady but you’re still looking for a way to increase cash flow to grow
your business. Traditional bank loans can take months to complete, and
sometimes you need cash NOW. This is where invoice factoring services can
come in handy. Companies of all types are turning to invoice factoring to
gain access to a steady cash flow for their business. In fact, many companies
that utilize factoring services consider it a secret to their success. Why?
There are several reasons.
8 reasons invoice factoring may be right for your small business:
1
No debt created. Unlike traditional ABLs (Asset Based Lending), factoring does not create debt because it is not a loan. Since a factoring company is purchasing your invoices and paying you
on those, it creates a more attractive balance sheet and strengthens your financial circumstances.
2
Start-ups qualify. You have to jump through a lot of large and difficult hoops to qualify for a bank loan as a start-up company. Some banks won’t even lend to start-ups. Since factoring is based on invoices, start-ups can easily qualify, allowing you to get to business quickly and easily.
3
Save money and time on invoice processing. Once you begin factoring your invoices, your factoring company starts handling most of the invoicing work, which saves your company money and helps increase productivity.
Got a question? Need some advice? Give us a ring. 800.705.1500
eCapital.com
Unlike
traditional
ABLs,
factoring
does not
create debt
because
it is not a
loan.
Factoring (fak-ter-ing):
The sale of a company’s
accounts receivable invoices
to a factor to obtain working
capital; this is also known as
receivables factoring, invoice
factoring, bill factoring,
accounts receivable factoring,
accounts receivable funding
and invoice discounting. It
is an popular method of
financing used worldwide
to help all types and size of
companies.
Title
8
reasons
1
invoice factoring may be right
TITLEYOUR
FOR
2
SMALL BUSINESS
4
Factoring is flexible. When you factor, you control which customers you want to factor, allowing you to secure operating cash that is flexible and meets your business needs.
5
Industry knowledge and savings programs. Factoring companies generally have specific industry knowledge and understand the needs and challenges of your business. They can also provide helpful services and programs that help you save money on business expenses.
6
Quick, painless account setup. It generally takes a few days
and minimal paperwork to set up a factoring account. You’re not going to have to wait weeks for an underwriting process to see your money!
7
Professional collection services. Factoring companies understand the importance of professionalism in business relationships. They
treat all your debtors as if they are your biggest and best customers, ensuring your business relationship remains secure.
8
Improve your credit. With factoring, the increased working capital provides you the means to pay your bills and vendors on time, which positively affects your credit score.
Need more reasons to factor? Contact one of our friendly factoring
consultants at 800.705.1500 for a no-obligation chat!
With factoring,
the increased
working
capital
provides you
the means to
pay your bills
and vendors
on time, which
positively
affects your
credit score.
Who is eCapital
anyway? We’re
pioneering the world of
modern-day alternative
financing with our innovative
programs and desire to help
businesses achieve financial
freedom.
Connect with us and
find out more.
Got a question? Need some advice? Give us a ring. 800.705.1500
eCapital.com