Small Business: Changing Your Financial Position with Factoring.
What’s your financial position?
You may have seen on the news; 27% of small businesses have indicated that they’re concerned about cash flow problems affecting their business performance. Also Channel 9 shared that small businesses have around $76 billion worth of unpaid bills. Therefore this puts a financial strain on businesses and can be responsible for small business failure rates.
Furthermore if you’re one of the many that are concerned about cash flow and your financial position isn’t as strong as you like. This is an article for you.
Strengthening your financial position with Factoring
Factoring is for businesses that are asset rich and cash flow poor. Often business owners are chasing invoices to be paid ahead of schedule so that can get the next orders moving.
As a result this comes at a cost. These lenders are not debtor collectors. They advance monies on invoices so owners can keep their business growing in the right direction. Other aspects of this product is having funding to put on more staff. Receive discounts for paying bills on time or ahead of schedule.
Its not unusual for business owners to utilise the back end procedures of factoring firms. Lenders set credit limits and conduct credit searches. Lenders verify work is completed and document phone calls and collection contacts. This has great assistance in courts if the debt should become uncollectable.
Family Factoring Consultants
This firm has been operating as a company since 2010. Trade Debtor Finance Consultants Pty Ltd has over 300 business placements since its beginning. TDFC fines the right lender and the right product for your business needs. TDFC also offers free support for the life of the loan chosen.
In conclusion if you would like to learn more about Factoring or Debtor Finance, please contact us today. One call will assist you greatly in your next business decision. We look forward to your call.