Can’t afford to wait up to 60 days to get paid by clients? Need to pay suppliers, employees, or other business expenes, but can’t? This is a common problem for many business owners who operate successful businesses but experience cash flow problems from time to time. Factoring and purchase order financing can provide you with the working capital you need to meet obligations and grow your business. We provide financing services in the US and in Canada.
Financing Program Selection:
This program helps companies in all industries that cannot afford to wait up to 90 days to get paid by their commercial or government customers.
This program helps resellers and distributors that have a purchase order on hand from a large client, and need financing to pay their suppliers.
This program helps trucking companies and freight brokerages whose shippers don't offer quick pays - and need money for their slow paying freight bills.
This solution helps oilfield service companies and other oil and gas industry providers that need working capital to improve their cash flow.
This program helps medical providers, doctors and diagnostic centers that wait up to 90 days to get their claims paid.
This program helps construction subcontractors by providing an advance on their invoices to creditworthy GC's and commercial clients.
Would you like a quick quote?
You can get an instant online factoring quote to see the cost of our services. We can offer factoring rates as low as 1.15% (based on industry, volume, and location). You can also call us at toll-free at (877) 300 3258 to speak to a representative.
Are we right for you? We may be if these three things are true:
- Your commercial / government clients take up to 60 days to pay
- Their slow payments are creating financial problems
- You need the funds to pay for company expenses
What are the benefits of factoring?
Our solution solves a simple problem: the cash flow issues created by slow-paying invoices. Our program enhances your cash flow and allows you to meet business expenses and take on new opportunities. The benefits include:
- Immediate funding for slow-paying invoices
- Predictable cash flow and elimination of slow payments
- A flexible line that can grow with your sales
- Factoring is easy to obtain. Works well with startups and established companies
- Quick deployments – usually in days
How does factoring work?
An invoice factoring plan provides you with an advance on your invoices that will be paid in the next 30 to 90 days. Instead of waiting for your clients to pay, you get immediate working capital to run your company. Transactions are usually structured so that a factoring company buys your invoices and pays you for them in two installments. Note that the transaction structure varies by industry. The simple process has three steps:
- You invoice your client and send a copy of the invoice to the factoring company
- The finance company advances you 80% (this amount varies) as a first installment
- Once your client pays, your get a rebate of the remaining 20%, less the factoring fee
Does your company qualify?
Qualifying for factoring invoices is easier than qualifying for most conventional financing products. Since the transaction is based on the credit quality of your invoices, the most important requirement is that you work with creditworthy customers. Additionally, your company must:
- Be free and clear of lien or encumbrances (or be working on a plan to address these)
- Have good profit margins
- Have owners with industry experience
We can work with small and medium-sized companies, including startups.
The cost of factoring is usually determined by the volume of invoices factored, the credit quality of your clients, the specific risk circumstances of the transaction, and your industry. Our services can cost as little as 1.15% for 30 days for qualifying companies.
What is purchase order financing?
We also offer purchase order (PO) financing to help resellers and importers that need funds to pay suppliers for confirmed purchase orders. The program offers the working capital necessary to pay suppliers, thereby allowing you to fulfill large orders. The benefits of PO financing include:
- You no longer worry about paying suppliers. Financing can cover up to 100% of your supplier costs
- Your available funding is based on the size of your purchase orders. It is an ideal tool to handle large orders
- Qualifying is relatively easy. The primary requirement is that you have solid commercial or government customers
Although we can finance purchase orders as standalone transactions, it’s common to combine invoice factoring with purchase order financing because combining these products usually lowers the total transaction cost
Will our solutions help you?
To learn more about our typical clients and what we can do for you specifically, or to review what benefits you can expect from us, please go to the client profiles section. This section will help you determine if we are the right company for you. Lastly, you can also learn about our products by reading our financing resources or by going to the frequently asked questions area.
Do you need more information?
We have a number of articles and resources to help you determine if we are the right solution to solve your financial challenges:
- What is factoring?
- Factoring financing basics
- How to get good factoring rates
- Advantages of factoring your invoices
- Dealing with slow-paying customers
- How does purchase order funding work?
- Advantages / Disadvantages of purchase order financing
Do you have a question?
Do you have a question about our programs or want to find out if we are the right company for you? Please call us toll-free at (877) 300 3258 to speak to a specialist now.