With the downturn of the economy many business owners are feeling the pinch in their accounts receivables. For this reason companies that offer Accounts Receivable Financing are among the many that can excel in a down economy by helping businesses meet their cash flow shortages.
Accounts receivable financing corporations buy the outstanding invoices at a discount from a business and assume the risk associated with collecting. This service comes at a relatively small price, usually .50% to 2% of the total invoice amount.
Working capital and cash flow problems are immediately solved with the partnering of an accounts receivable factoring service. Often payments are made in as little as 4 hours on outstanding invoices and when all factors are considered 4 hours payment vs 30 days or longer can add up to a positive return on investment quickly.
When the answers to your accounts receivables questions sometimes equal poor cash flow, or worse, bankruptcy, a qualified reputable factoring service can be the difference.