- What an Invoice Factoring Company Can Do for Your Business February 27th, 2015 9:10 pm
Businesses that research avenues for accessing cash will initially find a variety of solutions. Once these results are narrowed down to solutions that are faster and less complicated than traditional bank loans, accounts receivable financing will emerge as an excellent option to accessing funds. If your business has determined that accounts receivable financing is the right solution for your cash flow needs, the next step will be finding the right invoice factoring company.
Why Should My Business Choose Accounts Receivable Financing?
Financing receivables is faster and easier than a bank loan. Traditional lenders and banks can require weeks or even months of extensive paperwork and examination of your company’s credit history before a loan is approved. If the loan is not approved, you will have to start the process over, waiting longer and working on more lending paperwork until you find a lender who approves your business financing. Only then will you access the cash your company needs.
Invoice factoring is not based soley on your company’s credit history. Your business receives approval based on verification of your customers’ credit and payment histories. Application approval can be as fast as 24 hours. The process can be straightforward and manageable if you choose a business with the experience and services that make invoice factoring an excellent way to get funding for your company in a matter of days.
What Services Should an Invoice Factoring Company Offer?
First, determine that the company has experience with accounts receivable financing in your industry. Second, verify that the factoring company offers an immediate advance on your receivables as soon as you are approved. Finally, make sure their policies and services will benefit your business. A quality funding company should provide:
- Help preparing invoices to hand over.
- Guidance through notifications to your customers.
- Collections management.
- A guarantee to maintain a professional, non-aggressive relationship with your customers.A Funding Company That Provides Excellent Service
Universal Funding can provide your business with an uncomplicated solution to accessing cash as well as top-quality service. Call 1-800-405-6035 or submit a rate form to get started on an application today.
- The Protection Provided by Factoring February 26th, 2015 4:37 pm
There is a veritable ocean of options for you to choose from when you’re attempting to collect on your outstanding invoices. Each claims to the best way to reconcile your accounts receivables and bolster your company’s bottom line. Yet while some may offer distinct benefits in certain areas, few can provide that same sort of comprehensive advantages that come from factoring. If it’s only your unfamiliarity with the process that’s kept you from pursuing the services provided by receivable factoring companies, then it’s about time you be educated as to their benefit.
All of the benefits available from factoring your invoices can be described by one simple word: protection. Your factor can assist you in almost every aspect of the supply-chain process. This allows you to focus on doing what you do best: providing your clients with outstanding goods and services.
Comprehensive Security for Your Company
The protection provided by factoring is truly comprehensive. You’ll see it in every stage of your business, including:
- Contracting: As you assume new clients, your factor can provide you with information regarding their credit history and repayment capacity, helping you avoid taking on orders that could potentially result in bad debt and transactions.
- Production: Factoring also allows you the financial resources you need to meet increasing production demands. Having the cash value of your invoices in hand without having to wait to receive the money from your clients ensures your capacity to fill orders.
- Collections: Your factor can offer you credit protection on approved sales in the form of A/R insurance. That means that approved invoices will still be paid even in the event that a client fails to meet the obligation.
Factoring can provide your company with untold levels of protection when it comes to taking on new clients and dealing with struggling clients. As your factoring partner assumes much of the risk that comes with invoicing, it’s beneficial for both sides that measures are in place to help to ensure payment. We here at Universal Funding can help provide your company with the protection you need to fill orders without a financial strain. You can see right now the potential benefit of working with us. That information can be available to you simply by filling out our online rate form.
- The Lifecycle of a Factored Invoice February 25th, 2015 6:39 pm
As your factoring partner, we know all about the processes that go into factoring invoice and receivables to help you optimize your accounts receivables to support your operation’s growth. Yet haven’t you ever wondered what it would be like to take a quick peek behind the curtain to see exactly what goes on in life of a factored invoice. Having a comprehensive understanding of the AR financing process can help to reinforce your faith in its benefit to your organization.
What Happens After It Leaves Your Hands
It all begins when you receive and fulfill an order for either goods or services. Continue reading →
- How the Best Factoring Companies Differ From Collection Agencies February 24th, 2015 7:23 pm
Factoring is an option that many multi-million dollar businesses are turning to in order to maintain steady cash flow between client payments. To use factoring properly, you need the help of a quality factoring company like Universal Funding. Since factoring involves the selling of unpaid invoices to another entity, some people view factoring companies as collection agencies. This is not the case, however. The best factoring companies differ from collection agencies in some very important ways. Continue reading →
- How Factoring Companies Are Changing the Business World February 23rd, 2015 8:15 pm
If you want your business to continue to experience growth and success, you need to make sure that you tread carefully around your customers. By treating your customers with respect and appreciation, you can help to solidify your relationship with them and earn their loyalty over time. But what do you do when your customers put you in a tight financial spot because they are regularly late on payments or request terms? It can be very hard to keep a good relationship when you are constantly haranguing them for money.
This is where Universal Funding can help. By giving you immediate cash for your invoices, we can help you take care of your ongoing business costs so that you do not have to harass your customers for money. In this way, factoring companies like ours are changing the business world by improving relationships between customers and businesses. Continue reading →
- Factoring AR is a Great Financing Alternative for Businesses February 23rd, 2015 8:14 pm
Factoring A/R is a business practice that enables organizations to get their hands on much-needed capital by selling their invoices to a commercial finance company. This finance method is a great alternative to waiting indefinitely for clients to settle their invoices. While some clients often end up paying their invoices in a timely manner, a large majority of clients don’t. Or you’ve offered them terms for payment that extend beyond 30 days. This creates a lot of problems for businesses because they need the money from those invoices right away to maintain their operations.
Even with careful planning, it is often a challenge for a business to determine how much money it needs to function at any given time. Continue reading →
- Factor Company: Secure the Operational Funds Your Organization Needs February 18th, 2015 7:56 pm
Businesses need money in order to grow and maintain their operations. Depending on the industry, some businesses may find it more challenging than others to find the money they need in a timely manner, resulting in lost profits, weakened credit, and an increased risk of shutting down. Here are two ways that a factor company can help.
Increase Operating Capital
The larger and more successful an organization is, the more money it needs to operate. Continue reading →
- Understanding the Different Levels of Purchase Orders February 17th, 2015 10:42 pm
If you’re like most, the idea of obtaining financing for your purchase orders may be a relatively new idea to you. Most would think to go to a bank or another traditional lender when immediate business capital is needed because not enough capital is being generated through their operations. The benefit of PO funding is that your company is able to secure that capital without having to take a hit to your business credit profile.
Yet it’s important to remember that not all purchase orders are created equal. Continue reading →
- What Your Business Can Do With Profits From Invoice Factoring February 13th, 2015 7:12 pm
Even when your business makes millions of dollars in revenue, there comes a time where you are still looking for a little extra cash for one reason or another. Invoices in your accounts receivable often sit waiting for customers to make their payments when they can actually help draw in some immediate revenue. With invoice factoring, you can sell those unpaid invoices to Universal Funding and receive cash quickly. What can your business do with cash flow garnered from factoring invoices?
Pay Your Bills
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- Minimizing Bad Debt Losses through Factoring February 12th, 2015 5:33 pm
Every company has that story about a client they took on whom they believed would deliver untold opportunities for new revenues yet ended up leaving them holding the bill. Bad debt losses are a part of doing business. Yet just because your past stories have had unhappy endings doesn’t mean that you can’t turn those scenarios around to benefit you in the future. Financing receivables through a factor allows you to do just that.
How? Consider how many of your clients have an established relationship with your company. Continue reading →
- When Should You Consider Invoice Factoring? February 11th, 2015 8:54 pm
Invoice factoring is a lesser known option that many multi-million dollar companies overlook. If you are in the business of light manufacturing, distribution, oil, gas or mining, you may be sitting on innumerable invoices that can be sold to factoring companies like Universal Funding to provide you with quick money. There are many businesses that have an accounts receivable department to manage invoices. How do you know when it is time to consider factoring those invoices?
Your Business Needs Cash Now
Continue reading →
- Stop Waiting for Payments to Take Your Business to the Next Level February 10th, 2015 6:23 pm
When you wait 30, 45 or 60 days for customers to pay their invoices, your business can stagnate. You have projects that need to be started in order to expand your business, but the costs are prohibitive when cash flow is a concern. Factoring receivables is an excellent alternative to bank loans that can help your business quickly get cash to invest in growth.
Stopping the Cycle of Waiting for Payments
- Accessing Working Capital Without Assets February 09th, 2015 9:22 pm
Finding a way to increase working capital is a part of every business plan. However, accessing funds without assets to leverage or a long credit history sometimes is difficult for newer businesses working to grow. Traditional bank terms are not always the right option for a company, especially if working capital is needed quickly. For those companies, exploring accounts receivable factoring rates instead of bank loan rates may be a better start to accessing cash.
Accounts Receivable Financing Basics Continue reading →
- What Are Your Accounts Receivable Doing for Your Business? February 06th, 2015 7:59 pm
If your company generates a healthy amount of business and income, you have likely designated a whole department to strictly managing your finances. This probably not only includes payroll, utilities, and leasing an office space, but also the management of accounts receivable, or your clients’ invoices. For the most part, those invoices just sit around until customers make their payments. In the meantime, what are they doing for your business? With accounts receivable financing through Universal Funding, you could expedite and streamline receiving a vital source of income that will help your business.
A Vital Source of Income
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- Universal Funding Respects Your Privacy February 05th, 2015 6:59 pm
Your Privacy is Our Top Priority
We pride ourselves on strict adherence to procedural and technological standards set by law. In most cases, Universal Funding even takes the security of your personal information a step further by exceeding the privacy laws set by government officials. Continue reading →