How does factoring help my start-up company?
Cash flow is one of the biggest obstacles in the early years of business. Factoring helps start-up companies avoid the cash flow rollercoaster of waiting, 30, 60 or even 90 days for customers to pay their invoices.
Through factoring, start-up companies sell their accounts receivable invoices from creditworthy customers to Accutrac Capital at a discount in exchange for immediate cash, usually within 24 hours. Factoring helps start-up companies to:
- purchase equipment, fuel and supplies to keep trucks on the road and pulling freight
- avoid going into debt to pay expenses
- make payroll
- take advantage of bulk purchase or early payment discounts from vendors