When your business is in a cash flow bind, the last thing you want to do is wait up to 30, 60, or even 90 days for payment. You can’t even fathom taking out another business loan. Like many businesses, your credit has suffered from cash flow issues in the past and no bank with give you the time of day. What’s there left to do to get keep your business afloat.
What is Non-Recourse Factoring?
Non-recourse invoice factoring allows you to get financing without the wait and without incurring any additional debt to your name. An invoice factoring company will step in to purchase your outstanding invoices to advance you funds—fast. Our invoice factoring company is able to advance you up to 96% of its total in just 24 hours or less. Because the invoice factoring company purchases your outstanding invoices, they take on 100% of the responsibility if your client neglects to pay, keeping your credit secure.
Non-recourse factoring is a quick and simple way to get access to the capital owed to your business. It is a secured form of financing that is secured by a pledge of collateral, for which you are not liable.
Who Can Use Non-Recourse Factoring?
Another misconception that our customers have about non-recourse factoring is that it is only for major businesses—that’s not the case. Businesses from many different industries and many different stages of growth can harness the benefits of non-recourse factoring.
Startups can greatly benefit from non-recourse factoring. Because factoring companies consider the financial strength of your customers, rather than your business, you are more likely to get financing at better, lower rates.
Businesses with Poor Credit
For businesses with poor credit, getting a loan from a bank is practically impossible. Loans can become very expensive to the point where your business’s finances suffer. With non-recourse factoring, the factoring company will ever look into your business’s financial strength—only your customer’s credit. This will help you get access to the capital owed to your business to strengthen and improve your business’s credit.
Companies Tackling Major Growth
With major growth comes major expenses. The faster you grow, the more money you will need to spend. This can greatly impact your cash flow. Without cash in your pocket, taking on new clients can become impossible. With non-recourse factoring, you will have almost immediate access to the cash owed to your business without any risk to your business name, allowing you to take on more clients without any doubts.
Utilizing the Benefits of Non-Recourse Invoice Factoring
With non-recourse invoice factoring, your business will be able to tackle even the most complex expenses with ease. Because this financial service has no risk to your business, it can help your business build a strong source of capital that will set you up for larger funding to grow your business into new markets and in new geographical locations. With non-recourse factoring, the possibilities are truly endless—increase inventory, expand into new markets, hire more employees—with cash in your pocket there’s not much your business can’t do.