4.
Re: Short term finance Sep 28, 2009 7:04 PM
Hi Bobby2301,
There's an entire industry formed around solving the problem you are experiencing. A financial tool known as factoring exists for companies that are otherwise healthy, but are experiencing dips in their cash flow. The cash flow crunch stiffles many businesses and causes the owners to often reject new work or ignore their gut instincts and desires to expand.
Here's how it works:
You complete the work, or deliver the goods to your customers who pay you on account. You prepare and mail / fax your invoice to your customer. You also send a copy of the invoice to the factoring company who will independantly verify that the invoice will be paid at some point by your customer. Once the invoice is approved, you will get anywhere from 70-95% advanced to you the day the invoice is generated. That's money right in your account NOW! The factoring company does the waiting for you. Once your customer pays the factoring company, the factor will return the remaining unpaid portion of the invoice, minus their standard fee.
As it happens, I represent a factoring company and would be thrilled to work with you and your business to see if we're a good fit. And, with all bits of advice on this particular forum it's important that I advise you to look around at several different factoring companies. Be sure to compare the terms and conditions as closely as you would compare price. I just hope that once you look around a bit, you'll find our program workable for your problem.
Kind Regards,
Steve Ontiveros
Resource Business Partners, Inc.
www.wefactor.com
510.223.1285
s.ontiveros@wefactor.com
