Many small business owners think a good cash base is the way to offset some of the effects of a recovering economy. One good way to create this cash is by increasing a company's cash flow by factoring.
Factoring has become increasingly popular these days among all types of businesses and for good reason. It's fast, dependable and easy to manage. For a small fee a company can get their money up front rather waiting for their customers to pay. Factoring programs differ from institution to institution but for the most part work off an advance and reserve type system. What this means is a percentage of the invoice is paid up front and the balance or reserve less the factor's fee is paid when the factoing company is paid.
So if cash is king for you factoring could be a good option.
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