BUSINESS

Whether your business is established or a start-up, there comes a time when you require more credit and purchasing power than is presently available to you. Using Finance America's unique managed financing approach, growth opportunities are no longer something to fear. Finance America's factoring services can turn your accounts receivable into instant purchasing power and provide you with liquidity that will give you an edge over your competitors. Our entrepreneurial roots provide us with insight into growing companies and the financial realities that they face. Our services allow you to concentrate on the crucial business practice that normally get overshadowed by the day -to-day cash flow oriented issues.

Finance America's managed financing approach offers you both instant funding and corporate freedom, without the solicitation of a business partner or the scrutinized requirements of a bank loan.

Our clients find it less costly for our firm to manage their receivables than if they managed the details themselves. Obtain economies of scale by outsourcing your receivables management, you can leverage your growth by reducing payroll, overhead, and valuable time so you can increase your cash flow through improved collections, increase sales by focusing on core business activities and reduce your bad debt by taking advantage of our credit protection programs.

BUSINESS: Factoring/ Accounts Receivables

Account receivable factoring is where A/R and invoices are your most valuable asset. Factoring is simply a way to finance your sales. You sell your open invoices at a small discount and you get the cash now. This cash can be used for almost any business expense or investment such as paying for utility expenses, salaries, taxes, buying new equipment, or even paying for a new marketing campaign.

Factoring differs from a bank loan in three main ways. First, the emphasis is on the value of the receivables, not the firms credit worthiness. Secondly, factoring is not a loan- it is the purchase of an asset (the receivable). Finally, a bank loan involves two parties where as factoring involves three.

The three parties directly involved are: the seller, the debtor, and the factor. The seller is owed money (usually for work performed or goods sold) by the second party, the debtor. The seller then sells one or more of its invoices/accounts receivables at a discount to the third party, the specialized financial organization (aka the factor) to obtain cash. The debtor then directly pays the factor the full value of the invoice.

A company sells its invoices, even at a discount to their face value when it will be better off using the proceeds to bolster its own growth than it would be by effectively functioning as its "customers bank". In other words, it figures that the return on the proceeds will exceed the income on the receivables.

"Been turned down by the banks? Don't let banks determine your growth!"

BENEFITS/ADVANTAGES (factoring)
Great Low Rates: You get cash for an invoice within days for competitively low rates for the invoice amount of 30, 60, 90 days.

No Minimums: No requirements for minimum transaction volumes. You can use as much or as little as you want.

100% cash up front: We advance up to 100% of the invoice amount (less the fees) on most of your invoices.

More flexibility: Use your capital and lines for any business expense or investment.

Easy to qualify: Even small businesses can qualify, most service industries approved, easy process.

Customer Appeal: You still maintain control of your customer relationships, and your clients will love receiving more attractive payment terms.

Service Companies | Staffing Companies
Medical Companies | Construction Companies
Government Contracts | Trucking | Import/Export | S.B.A Loans