3 Great Reasons To Factoring Accounts Receivable

by | May 26, 2015 | Financial Accounting

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There are over 28 million small businesses in the United States today and these small businesses, defined as having fewer than 500 employees, provide jobs for over 50% of the working population.

Starting out in 1997 as a small business, we understand the challenges you face. However, we also recognize you are an integral part of the economy of the USA, but the issues you face are different than those faced by large corporations and companies. One of these challenges is often just the overwhelming amount of work required to stay on top of invoicing, collecting, and managing cash flow.

No Strings Attached

At United Capital, we can assist small business owners in their challenges with finding quick, frictionless access to working capital. By choosing factoring accounts receivable services with us, we can provide you with the funding you need without any strings attached.

As this is not a loan there is no long-term debt on the books, and there is no need to worry about making monthly loan repayments. You are only receiving financing on current open invoices, and you can select how many or how few of your invoices we purchase.

No Bank Hassles

Traditional funding sources such as a business loans and business lines of credit are difficult to obtain for many small businesses. In contrast, utilizing a factoring accounts receivable company allows you access to the working capital you need with just a simple online application followed by approval within 24 hours.

It is not uncommon for our clients to have their funding within three to five days, which is certainly shorter than the weeks to months you can expect with a bank loan or line of credit.

Limit Risk

Through our years of experience in providing working capital to small businesses across the United States, we have developed very comprehensive risk assessment and analysis protocols.

This allows us to quickly and accurately determine the creditworthiness of your customers and help you in risk mitigation for transactions. In addition, we also provide you with credit management tools to simplify your accounts receivables and increase profitability.

There are many other reasons we could share about the benefits of strategically partnering with a factoring accounts receivable company. If you just stop and think about the advantages of this option we known you will see why it can be such a good idea for such a range of small businesses.

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