Now that 2015 is upon us and like most business owners, you have probably put together some new year’s resolutions to improve businesses process and procedures for the next 12 months. After all, making positive changes is what the New Year is all about. Here are a few ways alternative financing can help make your new year’s resolutions come true:
- Improve Your Cash Flow – Poor cash flow can spell bad news for any business regardless of industry or size. Anytime there is a sizable gap from when you collect payment from customers to when you pay your own bills, cash flow problems are going to happen. By partnering with an alternative financing company who is well versed in providing invoice factoring services , you can collect on your invoices faster – in 2-3 days instead of 30 or more days – so the payment gap from collecting on your sales is virtually eliminated.
- Turnaround Your Collections’ Habits – All small businesses do it at one point or another: they overlook a late-paying client or two because they are happy for the business and they believe the client to be a “nice guy.” When this happens repeatedly, however, it can negatively impact your bottom line. When you work with an invoice factoring company, it takes over the collections process so you no longer have to deal with late payment excuses or nag people to pay you. And because collecting payments on time is a big part of what factoring companies do, you can trust them to do it right and actually improve your collections processes in the long run.
- Put Some Money in Your Accounts – So maybe 2014 wasn’t the best year for you. Sales were flat, growth was stagnant and insufficient capital was a routine problem. Factoring is a way businesses like yours can get the capital they need without applying for a small business loan or taking on credit card debt. Factoring receivables can help you get some capital so you can do what you need to do to drive your revenue.
So don’t let another new year’s come and go with empty promises of “doing better in the new year.” With alternative financing options such as factoring, you are making a real commitment to your business and your clients to turn things around for the next year.