A consistent cash flow is a key factor in sustaining and growing a business. Unfortunately, it’s often an issue, especially for smaller businesses. Rising supply costs, fluctuations in revenue, and the current unstable economic environment can make managing cash flow a serious challenge. With traditional business loans already difficult to obtain and the impact of the pandemic making it even harder, many business owners are looking for alternative funding sources. Small business invoice factoring can be the perfect solution and offers some great benefits.

 Invoice factoring solutions

Improved Cash Flow

This is probably the most important benefit and the catalyst for the many other benefits small business invoice factoring provides. Invoice factoring lets you skip waiting until your customer’s invoices come due. Having faster access to money that is already owed to you increases the consistency of your cash flow. This will make cash flow management easier and more predictable. It gives business owners greater control and the ability to keep their business moving forward.

Cash When You Need It

Although it’s not uncommon for customers to wait until their invoices are due to pay them, you’ve already spent money to provide them with the products or services or services they ordered. To continue filling customer orders you need to replenish your inventory and cover daily operating expenses. This can be difficult if your cash flow has dwindled. In some cases, business owners find themselves unable to keep up with demand which can cause a business to be viewed as unreliable and damage its reputation.

Preparing for Your Busy Season

It can often be a struggle for seasonal businesses to gear up for their busy season when they are just coming out of their slow season. Less business and waiting for invoices to be paid can leave business owners strapped for cash at a time when they need it the most. Leveraging outstanding invoices with small business invoice factoring can make getting ready for your busy season a breeze.  

Seize Opportunities 

Business opportunities are often unexpected. Without a consistent cash flow or a reliable source of additional working capital, you may have to pass on an opportunity you would otherwise take advantage of. In addition to helping to stabilize your cash flow, small business invoice factoring can also help you grab that golden opportunity when it presents itself. Financial flexibility is vital to promote business growth.

Skip the Long Approval Process  

Not only are traditional business loans getting harder to obtain, but there is also a ton of paperwork and a long wait to find out if you’ve been approved. If you have customers waiting for orders to be filled or want to take advantage of a timely business opportunity, you can’t be waiting weeks or even months with no guarantee you’ll be approved. With small business invoice factoring, the invoices you submit can often be approved for factoring in as little as 48 hours and you can receive funding in days.   

invoice factoring companies     

Small Business Invoice Factoring with CapFlow Funding  

When considering small business invoice factoring, it’s important that you understand how factoring works and you choose a reputable factoring provider who cares about your success. Not sure if invoice factoring is right for your business? We can help you figure it out.

 Capflow Funding Group will work with you to find the best funding solution to provide your business with immediate working capital. We also work with trusted partners to offer a variety of alternative financing options. Capflow provides service to many different industries with various funding needs.  Contact us today and find out how invoice factoring can help grow your small business.                  

 

The COVID 19 pandemic left many small businesses struggling to stay afloat in 2020. In an effort to reduce the economic impact of the resulting business restrictions, Congress passed the CARES Act in March of 2020. An important part of the package is the Payroll Protection Program, also known as the PPP. The purpose of the PPP was to help employers keep their staff on payroll and reduce the amount of the US workforce collecting unemployment. The intention was to provide funding to help businesses survive until life returned to normal. 

The initial key provisions of the PPP are as follows:

In addition to providing a lifeline for many small businesses and non-profit organizations, this funding was accompanied by the ability to have most or all of it forgiven. However, the original PPP Act wasn’t without its flaws. It lacked clarity and transparency. As the “new normal” set in, some businesses struggled to cover expenses and meet the forgiveness eligibility requirements.

PPP guidelines

 The Payroll Protection Program Flexibility Act is Passed

One of the biggest hurdles many businesses and organizations face is compliance with the required percentage that could only be spent on payroll in order to review loan forgiveness. On June 5, 2020, the Payroll Protection Program Flexibility Act was passed. It was meant to help address that and some of the other key issues faced by those who received PPP funding and are now trying to meet the Forgiveness requirements.

The key issues addressed by the PPP Flexibility Act are as follows:

small business loan forgiveness

Beyond the Payroll Protection Program

At CapFlow Funding Group, we see so many of our clients trying to navigate the complexities of the PPP Act and its seemingly constant evolution. In an effort to assist them and other business owners, we continue to update our resource center with the latest information and forms relating to the PPP Act. 

While the pandemic has drastically altered the economic landscape, we will do our best to help our clients not only survive but successfully rebound in the” new normal”. Contact us to see how we might be able to help.