Invoice factoring for Boston businesses has been able to improve cash flow across all industries, while simultaneously promoting growth. Over the past year alone, more Boston-based businesses are switching to invoice factoring instead of taking out loans to get access to working capital.
How Invoice Factoring Works For Boston Businesses
With traditional bank loans, requirements for business owners are frequently very high. If the requirements are met, the loan process can take weeks and sometimes months. Invoice factoring for Boston businesses can be set up very quickly. Invoice factoring involved submitting unpaid receivables, which are converted to working capital within 24 hours. Instead of waiting on customers to remit payments, or having to deal with a backlog of open invoices, local entrepreneurs can speed up the process by using invoice factoring for Boston businesses.
Invoice Factoring For Boston Businesses Is Debt Free
Unlike traditional bank loans, invoice factoring for Boston businesses does not place any debt on the balance sheets. Invoice factoring is structured around unpaid receivables, instead of credit ratings, collateral, and other requirements used by banks. Invoice factoring allows businesses to preserve their credit ratings, and accumulate growth capital, without having to worry about loan payments and getting out from under unnecessary debt.
Removing The Need For Collections
When customer invoices are left unpaid beyond the aging window, they are usually moved to collections. The biggest issue with collections is that they can add up to 45 days onto the payment schedule from the point the collection is started. For Boston-based businesses who are experiencing a strain on cash flow, collection services can prolong the drought in payments. Invoice factoring for Boston businesses eliminates the need for collections. Invoice factoring allows local business owners to not only get revenue for current customer accounts, but also any backlogged invoices which are overdue.
Getting The Best Invoice Factoring For Boston Businesses
If you own a business, and would like to improve your current cash flow, or prevent a strain by getting working capital for unpaid invoices, contact the experts at Clipper Commercial Capital. We specialize in debt-free working capital solutions for businesses across all industries in the Boston area. Our team will work with you directly to create a customized solution to meet your financing needs, and to promote growth for long term success.