How Factoring Services Can Help You Take Advantage of Discounts
In many industries, an important cash flow strategy is to take advantage of what are often referred to as early pay discounts, or “2/10, net-30 discounts.” Such discounts allow companies to subtract 2 percent (and sometimes more) from the invoice amount if it is paid within 10 days instead of the normal 30.These discounts can [...]
It’s Time to Take a Fresh Look at Asset Based Lending
There are many misperceptions among CFOs and finance executives when it comes to asset-based lending (ABL). The biggest is that ABL is a financing option of last resort - one that only "desperate" companies that can't qualify for a traditional bank loan or line of credit would consider.With the economic downturn and resulting credit crunch [...]
Factoring and Leasing A Powerful One-Two Commercial Financing Punch
Most owners and entrepreneurs who have been in business for any length of time understand the power of financial leverage. This is especially important for manufacturing companies, which usually require a significant investment in equipment, raw materials and inventory before they can begin generating revenue. The key to success for most manufacturers is to spend [...]
The Credit Crunch Myth Financing Options You May Not Have Considered
Over the past couple of years, the term "credit crunch" has taken its place in the popular vernacular alongside other now-common phrases like "mortgage meltdown" and "bank bailout". But is the supposed credit crunch that we keep hearing so much about (go ahead and Google it. I did and got more than 12 million results!) [...]
Off-Balance Sheet Financing The Benefits in Today’s Economic Climate
There are two different categories of commercial financing from an accounting perspective: on-balance-sheet financing and off-balance-sheet financing. Understanding the difference can be critical to obtaining the right type of financing for your company.Put simply, on-balance-sheet financing is financing in which capital expenditures appear as a liability on a company’s balance sheet. Commercial loans are [...]
