June 17, 2021
A successful collection effort is an important component of any business. It plays a major role in the revenue cycle; not only do you have to close the sale and provide the product or service, but no transaction is complete until payment is collected. The ability to collect in full and in a timely manner […]
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June 8, 2021
One of the most common questions we get asked is how does factoring differ from a bank loan or another traditional capital source. This is an excellent question and I will answer this by addressing key differences between the two in the short article. In the simplest sense, the difference between a bank loan and […]
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April 6, 2021
This month, I had the pleasure of speaking directly with Fred G. Parrish, founder of The Profit Experts and co-author of The E-Myth Chief Financial Officer: Why Small Businesses Run Out of Money and What to Do About It with Michael E. Gerber. There are those of us who still hold tight to our copy of The E-Myth. For me, it […]
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March 1, 2021
Trade finance is a catch all term, covering any form of financing in a trade transaction, both domestically and internationally. Common forms of trade finance: Supply chain finance (aka reverse factoring and payables financing) Factoring (invoice financing) Purchase order (PO) financing Letters of credit and guarantees Benefits to using a trade financier: Reduced risk – […]
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February 25, 2021
Background General description: Sporting goods manufacturing State of formation: Illinois Customer type: Retail companies Issue This company just secured a major contract for its business. This new customer was in the top ten of the Fortune 500 companies and a major entity in the retail space. Unfortunately, the terms of the contract states that the […]
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February 25, 2021
Background General description:Midsized ammunition manufacturer State of formation: Florida Customer type: Government entities including the United States Department of Defense Companies that benefit from factoring of government receivables may be contractors for federal, state or county contracts. In many cases, minority and women-owned businesses and SBA 8(a) organizations are eligible to factor government receivables. When […]
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February 25, 2021
Background General description:Information technology (IT) temporary staffing company Customer type:Government entities including the United States Department of Housing and Urban Development, United States Postal Service, and General Services Administration Companies that benefit from factoring of government receivables may be contractors for federal, state or county contracts. In many cases, minority and women-owned businesses and SBA […]
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February 25, 2021
Background General description:Marketing & public relations firm Customer type:Government entities including the Centers for Disease Control and Prevention and Centers for Medicare & Medicaid Services Companies that benefit from factoring of government receivables may be contractors for federal, state or county contracts. In many cases, minority and women-owned businesses and SBA 8(a) organizations are eligible […]
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February 25, 2021
“Our account executive is just the bomb and has been absolutely wonderful with everything. She has completely made a very scary process so comfortable and easy to work with every week. We have a system going, and it works great.” Real feedback from contact of case study subject Background General description:Automotive reconditioning Company structure:Partnership State […]
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February 25, 2021
Background General description:Manufacturing and selling machine parts Company structure:Corporation State of formation:California Year of formation:2016 Customer type:Power companies Issue The company was very profitable but experienced hyper growth. Its unique ownership structure made it difficult to find an ideal financial solution and traditional bank financing was unresponsive. Other circumstances included: Increase in shipping and material […]
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