Is Single Invoice Financing Worth the Time
Perhaps Benjamin Franklin said it best: “Time is money.” This may lead you to wonder whether single invoice financing is worth your time.
For the small business owner, a more appropriate quote might actually have come from entertainer Snoop Dogg, who famously rapped, “I’ve got my mind on my money and my money on my mind.” Indeed, getting access to business cash now is enough to keep you up at night. You may believe that single invoice financing is the answer but it’s important to know your other options.
The Advantages and Disadvantages of Single Invoice Financing
When you are looking for a quick business loan, you soon discover that the bank is not your friend. They have so many rules and strict criteria that you will not be able to qualify. As a result, many small business owners turn to single invoice financing.
The biggest advantage of this tactic is flexibility. You have the option of factoring only the invoices you choose. This allows you to closely monitor your financing costs.
You should know that there are also drawbacks to this method of short term business financing. Single invoice financing, also called spot factoring, tends to come with a high cost. This is typically much more expensive than a traditional small business loan. Additionally, each invoice must be verified and some factors will only accept commercial invoices.
Is There an Alternative to Single Invoice Financing?
Most small businesses have accounts receivables that are 100 percent funded by the business owner through cash flow and owner savings. However there are times when an owner gets that one big order which really outstrips his or her cash reserves. That is when an owner thinks about getting that single invoice financed.
Nevertheless, for the amount of time it takes to find any finance company that is willing to finance that invoice, it is just better to get a line of credit. This will address the problem now and for the future.
A line of credit from Financing Solutions (www.financingsolutionsnow.com) can usually be put together in 48 hours. It could be even faster if you can get the bank statements, tax return, driver license, and other simple documents submitted quickly.
The line of credit costs nothing to get in place and you are only charged when you actually use the line. This makes it the perfect solution for your cash flow issues and an ideal back up plan for every business.
Why Time Management is Important for Your Business
Time may actually be more vital than money. After all, you can always get more money but everyone gets the same amount of time in a day. What you choose to do with yours can result in great success or dismal failure.
For example, when you manage your time, you can get more of the essential things done. Focus only on the tasks that help your business grow and delegate the rest.
This will also help you prioritize and hone in on your true goals. The more you say no to time-sucking, trivial matters, the more you can say yes to profitable business opportunities.
With proper time management, you can find time to access immediate business financing. Your first call should be Financing Solutions.