Consumer spending in the United States experienced its largest gain in two years during the first quarter of 2013. A 2.5 percent growth in the economy last quarter has economists hopeful for continued gains. The evidence of a gradual recovery is seen in the rising number of home purchases, increased residential construction, advances in auto sales, and a steadily climbing gross domestic product (GDP).
The U.S. Department of Commerce reports that “Durable goods manufacturing, finance and insurance, and wholesale trade services were the leading contributors to U.S. economic growth in 2012, according to advance statistics on the breakout of real GDP by industry from the Bureau of Economic Analysis.” These American industries leading economic growth bodes well for companies such as Universal Funding Corporation which provides asset-based financing solutions for businesses all over the U.S.
With the positive economic outlook and 2013’s first quarter complete, Universal Funding Corporation, an accounts receivable factoring company, is proud to welcome 11 new clients for their first funding. Although this is about half as many new clients as the first quarter of 2012, these businesses are already enjoying the benefits of Universal Funding’s custom designed lines of capital.
While 2013’s first quarter was slightly down in new business, April outpaced the previous year by 3:1 in new financing. With the latest economic numbers showing acceleration in manufacturing and wholesale trade, industries in which Universal Funding specializes, Universal’s President Kyle Bergstedt is preparing for an influx in funding requests during the second quarter. “We expect to fund more manufacturers and wholesalers this summer in order for them to keep up with higher rates of consumer spending.”
Here is a sampling of the first quarter new clients utilizing Universal Funding’s factoring services:
- $500,000 line of capital for a software developer in Georgia
- $450,000 line of capital for a decorative railing designer in New Jersey
- $60,000 line of capital for a staffing company in Wisconsin
- $300,000 line of capital for a trucking and transport outfit in Wyoming
- $300,000 line of capital for a beverage distributor in New York
These companies have received a cash advance on their receivables by factoring them with Universal Funding. This type of financing has proven advantageous for them in order to meet demands for new business, cover payroll costs, pay taxes, receive early pay discounts from vendors, and hire new employees. These businesses are doing their part to contribute to our nation’s economic recovery.
Factoring invoices is becoming one of the most utilized forms of business financing worldwide. Not all factors offer tailor-made financing options, but Universal Funding is proud to design a line of capital specific to each business’s needs.