5 Ways Accounts Receivable Financing Can Help Your Business

For many businesses today, the competition is harder than ever. As more and more businesses struggle to compete with one another, even the slightest advantage can mean the difference between success and failure. Because of this, numerous companies realize the best way to gain a competitive edge is to leverage their accounts receivables into cash, allowing them to purchase needed equipment as well as expand their operations and hire additional employees. However, while many companies are aware of their pressing financial needs, they often fail to realize just how much their accounts receivables can help them. When it comes to accounts receivable financing, there are several ways in which it can help your business.

1. Provide Working Capital

For a business to truly have the resources necessary to succeed, it needs working capital. No matter what type of business challenges you may be facing, using accounts receivable finance as working capital can help your bottom line tremendously. Whether it’s using the money for an expansion or to purchase thousands of dollars of new equipment, having the working capital needed to make these things happen can lay the groundwork for years of success.

2. Advances for Seasonal Needs or Other Circumstances

For businesses that are mostly seasonal, the challenges faced by them are often unique when compared to other businesses. As a result, they often find it difficult to find and establish relationships with financing sources, which hinders many to the point of shutting down permanently. However, State Financial has established itself as a leader in helping companies take advantage of special purchasing opportunities related to their seasonal needs. By working with State Financial to process special orders which may otherwise put a business over its normal credit limit, a seasonal company can then take advantage of extraordinary circumstances that can keep them ahead of their competitors.

3. Turning Accounts into Cash

If there is one thing that can make a huge difference in how a company operates, it’s cash flow. Whether it’s 30, 60, or 90 days, businesses know these accounts can lead to a cash flow that can result in invoices and inventory being used for cash. State Financial, by advancing a percentage of a borrowers’ accounts receivables, can create a continual cash flow that can help virtually any business see its plans come to fruition.

4. Same-Day Borrowing

In some instances, businesses may encounter situations where they may need money in a hurry. However, most lenders are reluctant to let businesses have access to immediate funding for extraordinary circumstances. However, firms such as State Financial take a different approach. Believing businesses should have an advance when they need it most, they work with businesses to ensure they have the funds they need. By doing so, business owners have one less thing to worry about, enabling them to focus instead on beating the competition.

5. Financial Flexibility

When business owners deal with traditional lenders such as banks, they have little if any flexibility when it comes to obtaining funding for circumstances that may have come from out of nowhere. However, with an accounts receivable loan or invoice loan, State Financial knows that rules should always have a bit of flexibility built into them to deal with unusual or pressing needs. But while most banks will rarely if ever use flexibility when working with businesses, State Financial does just the opposite. If it’s a reasonable request, State Financial will consider it and work with a business to make it happen. By understanding what businesses need to operate at their best, State Financial can allow accounts receivable financing to produce excellent results over and over again.

Call State Financial now at 310-820-5222 or complete the form below, and we’ll talk about how we can help your company.