Invoice factoring is a financial practice which can be of benefit to virtually every company, regardless of its size. Any company that needs fast cash to cover a seasonal cash flow shortage, or to purchase new inventory, or even just to meet monthly business expenses, could potentially be a great candidate for invoice factoring. Here are four ways you can make the most out of factoring so that your business gets the maximum benefit from it.
Pay Your Suppliers
If you don’t have the funds on hand to pay your vendors for materials necessary to run your business, factoring can provide the cash to pay them. When you’re dependent on goods from your regular suppliers to keep your business running, you just can’t afford to let those bills go unpaid, especially since it will cause your credit history to take a hit.
Fuel Business Growth
When you need an influx of cash to drive significant business growth for your company, factoring just might be the answer. Because you can receive funding from invoice factoring very quickly, you’ll be able to take advantage of an opportunity that may be only briefly available.
Meet the Payroll
Whenever you experience a downturn in business, and simply don’t have the funding on hand to meet your payroll requirements, invoice factoring can fill in the gap. You can’t afford to let employees go unpaid, because they are one of the most important business assets you have, so acquiring the funding necessary to meet your monthly or weekly payroll is essential.
Launch a New Product
If you are prepared to launch a new product that is expected to be a significant addition to your catalog, one of the best ways you can quickly acquire that funding is through invoice factoring. New products can breathe new life into your business, and it’s an opportunity you shouldn’t miss, so consider factoring as one way to accomplish your business objectives in this area.
Factoring with Aspen Commercial Lending
If you think invoice factoring might be right for your business, we’d like to hear from you at Aspen Commercial Lending. Contact us today, so we can consider some options for invoice factoring that will put cash in your hands quickly.