What Are Some Inexpensive Factoring Options
When you own a small business, it is important to know how to find inexpensive labor and cheaper ways to reach customers. It may also be crucial to find some inexpensive factoring options.
Factoring can be very helpful but you don’t want to make your financial situation worse by choosing the wrong company. Therefore, knowing where to turn for inexpensive factoring options could mean the difference between a thriving business and one that is in trouble.
Who Offers Inexpensive Factoring Options
There are numerous companies that promise carefree accounts receivable factoring. Your best choice is a cash advance company, like Financing Solutions (www.fundmypayroll.com). Their process truly is fast and simple.
Using spot factoring, Financing Solutions allows you to factor some or all of your account receivables and receive cash based on a percentage of their value. They are upfront about the terms so there are no surprises and no expensive fees.
In addition, they offer a flexible repayment schedule so that you don’t have to worry about a long term commitment. Most companies that use their services are able to repay the money in a few weeks or months, when their cash flow situation improves, without the hassle of early payment penalties. Also, using Financing Solutions will not negatively affect your credit score.
What Other Kind of Factoring Options Are Available
Traditional invoice factoring is a viable option for many reasons. They can get you quick business financing in less time than you could get a loan from a bank without the lengthy paperwork. However, you have to choose carefully.
Some factoring companies charge ridiculously high fees, often thousands of dollars which gets added to the cost of your loan. Also, they lock you into long term repayment contracts that can take years to pay off.
Additionally, many factoring companies insist that you factor all of your account receivables, not just some of them. They may also have policies which state that your creditors must pay them directly, signifying that you are using a factor and that your company could be in dire straits.
Inexpensive Options for Promoting and Growing Your Business
Every business, large and small, is always looking for new customers. Small and medium sized businesses face the additional challenge of how to fund their promotion and growth initiatives without affecting other areas of the company.
One thing to remember is not to forget your current customers. Many businesses make the mistake of focusing so much on acquiring new business that they neglect the ones they already have.
You can find ways to make your current customers ambassadors for your company by encouraging them to promote your product using tools like social media posts and positive online reviews. Perhaps you can offer discounts for referrals.
In addition, you can also explore the possibilities presented by email marketing. This is an inexpensive way to have a high impact. It may also help you drive traffic to your website and stay in contact with prospects. Remember to provide value and useful information, not just advertisements of your product.
Another inexpensive option for growing your business is to contact Financing Solutions. They can give you the fast business funding you need without adding to your financial worries.