Cash flow problems plague all companies, no matter what the size or industry they are in. Receivable factoring companies, or factors as they are known in the business world, are finance companies that offer to purchase the open accounts receivable a company is holding in exchange for a sizeable sum of cash in order to help companies solve cash flow problems. This non-traditional financing arrangement allows companies to not only raise the cash they need to cover business expenses, but to offload many liabilities and improve the quality of their balance sheets.
Companies can also utilize the services of receivables factoring companies as a substitute for hiring in-house collections agents. This not only saves the company time and money, but helps to preserve their relationships they have established with their customers. Receivables factoring companies provide many value services to companies across all industries. They provide small and start-up companies with a viable financing source that can help offset liabilities and prevent them from going into debt to expand their operations.
The best factoring companies in the market for financing accounts receivable are the ones who have the knowledge and experience necessary to offer you a fair deal, regardless of the industry you are in. Some of the best factoring companies have years of experience in the factoring business and are familiar with many different industry types. This knowledge and understanding is important because the type of business your company is in is a factor in determining the accounts receivable financing rate for an invoice.
If you’re ready to start solving cash flow problems with Universal Funding, fill out a rate form or call 1-800-405-6035.[hs_action id=”1489″]