We live in tough times. Who really knows if the economy is on its way up or about to turn back down? Of course we all hope for the best but, the truth is, we just don’t know.
That’s why protecting cash flow is so important right now. In a growing economy, business owners like you will need to keep up with increasing orders. In a sinking economy, they will need to bridge the gap and keep the doors open.
It doesn’t help that, right now, companies face longer payment terms from customers and tighter loan restrictions from banks.
That’s where factoring with Universal Funding comes in. Factoring offers many benefits for companies of all sizes. Chief among those is the ability to produce needed cash very quickly. But there are other reasons why factoring is so advantageous for so many companies:
1. Factoring streamlines your accounts receivable duties
When you factor with Universal Funding, we assume the responsibility for managing the invoices. This means that you won’t have to worry about performing your usual accounts receivable duties such as sending out invoices or making follow up collection calls. We will even keep customer records for you, saving you the trouble of file storage and maintenance.
2. Factoring allows for increased cash flow without going into debt
The most common form of business funding is small business lending from traditional institutions. However, taking out a new bank loan requires taking on the responsibility of repayment. With invoice factoring, a company can avoid any new debt, which means no money to pay back.
3. Even companies with poor credit, or no credit at all, can qualify for factoring
Getting a bank loan can be a struggle for a business owner. It can be nearly impossible for a new business or one with no credit or bad credit. Since invoice factoring is based on the creditworthiness of a business’ customers, small and developing companies can use it to build cash flow, even if they don’t qualify for a loan.
4. Factoring gives business owners more time
Instead of following up on customer invoices, business owners can get right to work on new projects, new marketing efforts or new customer accounts. Universal Funding will take care of all the collections work, payment processing and record keeping for you.
5. Universal Funding offers even more
Whether you need the peace of mind of accounts receivable insurance, help with tax problems or just sound business advice from experts in the field, Universal Funding can help. The purpose of our business is to help you grow.
Invoice factoring offers many benefits to businesses including a fast cash advance period, a streamlined collection process and the ability to increase funds without taking on debt. If you are interested in seeing how invoice factoring can help you, contact us now!