How to grow your small business. Small to Mid-Sized Businesses are always looking for strategic ways to grow and become more profitable.
A good rule of thumb, make sure you have your capital contribution locked down as one of your very first preparation steps.
Funding can come from a variety of sources, including personal funds, a bank, outside investors and your accounts receivables.
The First 3 Funding Options You’re Most Likely Already Familiar With:
- Personal Funds – Reach into your savings to fund your business growth, hire employees, cover day-to-day expenses and so on.
- A Bank – Drive down to your local bank, fill out paperwork and wait to see if you qualify for small business financing.
- Investors – Work up a business plan, executive summary, proforma, 5 – year profit and loss projections and start shopping your idea around to potential incubators and/or angel investors.
But number 4 you may not be as familiar with. Using your accounts receivables (money your customers already owe you) to finance your business growth. Get paid faster by reinvesting your earnings sooner with invoice financing.
Invoice financing has been around forever it seem, and small startups to huge companies like Snapple use invoice financing to increase their daily working capital and grow their businesses more quickly.
How Does Invoice Financing Work?
It’s pretty simple really. You invoice your customers for payment, and typically they send you a check within 30-45 days. What if you could instead invoice customers and get paid within hours! With invoice financing you can!
Invoice financing uses assets from your business (your accounts receivable invoices) to get your business immediate cash flow to hire additional employees, afford business expenditures, cover payroll, service new accounts and keep your business competitive in your industry.
If you’re not utilizing your invoice receivables as assets and your competitors are, they may be getting a leg up on you by affording them an opportunity to service new larger customer contracts and extend terms to those larger customers.
Don’t be forced to use your own profits to fund your customers business growth when offering net-30 to net-45 terms, instead use an invoice financing company and their money to fund your terms and strengthen your customer business relationships.
An invoice finance company will buy your invoices for immediate cash, so you get your money immediately and can reinvest in growing your business faster instead of waiting for payments while your customers use your profits to grow.
If you’re comfortable with the idea of selling your accounts receivable invoices for a small discount, in order to get paid immediately, then you should explore the benefits of invoice financing.
Get A Few Offers To Buy Your Accounts Receivable Invoices For Cash!
It’s recommended that you get a few offers when deciding which invoice financing company is right for you. You can visit www.factorbid.com and within a few minutes, you’ll have a few competitive offers from invoice finance companies to purchase your accounts receivable invoices for immediate cash. Factor Bid is free online business resource that you can use to get competitive offers from finance companies. You’re under no obligation to use any of the companies competing for your business. Factor Bid is completely free.
Get the knowledge and leverage you need to negotiate the best financing deal for your growing business at Factor Bid.
On The Go – Grab Factor App For Fast Invoice Financing Offers!