Do you feel like your business is drowning in accounts receivable? You’ve already delivered a product or provided your service and are just waiting to be paid. The accounts receivable owed to your businesses by another business can consume valuable company time and energy. There are many different business models that are effective in dealing with outstanding accounts receivable, but it is particularly seen most often in the services industries. When you are working on a large project for a client, it is likely they are not going to be willing to pay the full amount up front. In situations such as this, it is of vital importance that you have the proper planning to ensure that your cash flow isn’t affected by a large output of your resources while you wait for project completion and payment. You also want to be able to quickly and effectively collect upon debts that are owed to you shortly after you deliver a completed project.
When you are managing your accounts receivable, one of the most important things that should be taken into consideration is a back-up plan for when your customers are slow to pay. This means you have spent months of resources on a specific project and you then wait months to get paid and benefit from revenues. In cases like that, you may want work with your business consultant to broker a financing solution with a factoring company. The factoring company will purchase the invoices that are owed to your business and provide an instant cash advance worth a high percentage of the value of the invoice. This is an excellent option for business owners that are spending too much time waiting and trying to collect on their accounts receivable.
If you are in need of immediate funding and have unpaid accounts receivables, please call 1-800-405-6035 or click here, and one of our Business Development professionals will follow-up with you.