Stop-and-start cash flows are a common problem afflicting businesses of all shapes and sizes. In industries where payment terms are traditionally lengthy, it can be hard to go against the grain without alienating your customer base, and so many business owners and entrepreneurs are forced to simply sit back and wait patiently for any capital that they’re owed.
This can cause some serious problems. Most businesses are reliant on a healthy flow of capital through their coffers: it’s vital to cover the cost of new stock, pay your employees’ wages, and ensure that updates can be made to your buildings and equipment. When this supply falters, the wheel is disabled and, in the most extreme cases, business can come to a juddering halt.
The solution to your problems may lie in invoice financing. Providing almost immediate access to any outstanding debts owed to you, invoice financiers offer all or most of your invoice totals upfront, leaving you with a ready supply of capital to pump back into your business. Here are just three of the reasons that such a service might be of benefit to you…
#1: Invoice Financing Offers Immediate Access to Capital
The beauty of invoice financing lies in the nature of the beast. As we mentioned above, invoice financing is set up to provide business owners with almost immediate access to all or most of their invoice ledger. This means that rather than waiting two to three months for large debts to be settled, you have access to the capital you’ve earned when you need it the most, making the uncertainty of a stop-and-start cash flow a thing of the past.
#2: Invoice Finance Provides Business Security
The knock-on effect of this access to capital is the security that it provides. No longer will your business be at the whims of your biggest clients, with you and your employees never knowing when money will make growth and investment in your staff and enterprise possible. With the added certainty of knowing when the money will hit your account, you can plan for the future without fearing that the carpet could be pulled from under your feet at any moment.
#3: Invoice Financiers Can Offer You Expert Support
Fortuitously, the boons of invoice financing do not only extend to a stable cash flow and the many benefits that accompany it. For smaller enterprises in particular, the help and support that companies like Touch Financial can offer is utterly priceless. With the ability and expertise to handle everything from managing your ledger to collecting debts on your behalf, invoice financiers are invested in your business and have the drive and talent to help your company prosper.
Give your enterprise a helping hand today with the aid of invoice financing.
