Every business, regardless of the industry, is in need of a constant flow of working capital if they are going to thrive. Even the most successful businesses will sometimes encounter situations in which it is simply not feasible to wait for clients to pay for products and services that have already been delivered. In cases such as these, many businesses seek out traditional lending options, though the low factoring rates we offer at Universal Funding Corporation is an appealing component of our cash flow solutions.
Advantages of Acquiring Capital Through Factoring Solutions
There are a number of advantages to utilizing factoring solutions instead of traditional financing options to fulfill your working capital needs. In addition to immediate availability of cash flow, factoring solutions are advantageous for the following reasons:
- Value of your invoices is the only asset required to secure funding
- Working capital grows in accordance with sales
- No debt is incurred
The fact that you can get the capital you need quickly and efficiently is extremely beneficial when it comes to ensuring the continued success of your business, so it is important to consider the advantages of utilizing this method of securing working capital.
Rates Influenced by a Number of Variables
In many cases it is possible to secure the working capital you need for your business at a very low factoring fee, sometimes as low as 0.55 percent. There are a number of variables that are taken into account when determining this rate, including the strength of your client’s credit rating, factoring volume, customer payment cycle trends and the duration of the contract. The same points help to determine the advance rate that will be proposed.
Contact Us Today for Your Working Capital Needs
If you are in need of working capital so that you can keep your business thriving, then give us a call at 800-405-6035 at your earliest convenience so that we can discuss the options that are available to you. We can supply you with the working capital you need quickly and at a rate that is very appealing. Alternatively, you can submit a rate form for a free consult on your financing options.[hs_action id=”1489″]