Grow Your Business by Factoring Receivables
Business owners of any size know that when capital is tied up in A/R it can have a negative impact on cash flow. Limits on cash flow can make managing payments for day to day operations a challenge, let alone grow your business. Many companies have found that financing receivables through Crescent Capital Solutions made the difference by turning a challenging situation into a successful and thriving business outcome.
How It Works
Accounts receivable financing, also referred to as factoring, is the discounted sale of outstanding invoices. Essentially, you are outsourcing your collections. Rather than waiting anywhere from 30 to 90 days to receive payments from your customers, you will typically receive cash in less than one business day. You can then use the funds to improve your business:
- Hire more employees to accelerate growth
- Fund new projects to capture new market
- Pay operating expenses on a timely basis thus improving your credit which reduces your cost of capital
Benefits of Factoring
Factoring is not a loan. Therefore it does not impact your balance sheet. In fact, it preserves your available credit. Factoring reduces the risk associated with bad debt as the factoring company assumes that risk. Factoring is based more on your client’s credit and less on yours. Therefore, companies with challenged credit can gain access to otherwise unavailable funds by using factoring.
Financing your receivables with Crescent Capital Solutions is quick and easy. You don’t have to fill out any paperwork or wait for approval as you would when applying for a business loan. Furthermore, when you sell your outstanding invoices to us, you get more than just quick funds. We offer a number of value added services, including:
- Customer credit checks
- High risk notification
- Detailed monthly statements
- Free credit insurance for qualifying accounts
Selling your A/R to us allows you to focus on your core competencies rather than collection efforts so that you can grow and expand your business.
Improve your cash flow and grow your business with factoring from Crescent Capital Solutions. Call one of our financial specialists for a free, no-obligation analysis.