How to use factoring to save your business Being your own boss is great until cash-flow problems threaten the survival of your business. A recent study by the U.S bank attributes the failure of 82% of small businesses and startups to cash flow problems. However, factoring can save your business. If you don’t have enough […]
Business Funding
How factoring saves businesses
4 years ago
Factoring saves businesses by alleviating cash flow problems. Being your own boss is great until cash-flow problems threaten the survival of your business. A recent study by the U.S bank attributes the failure of 82% of small businesses and startups to cash flow problems. So how do you know if you have a cash flow […]
Unsecured vs. Secured Debts: What’s the Difference?
4 years ago
Loans generally fall into two different categories: unsecured debt and secured debt. What is the difference between the two? And, what are the implications for the borrowers and lenders when it comes to non-payment? Know the difference between secured vs unsecured debts. Unsecured debt Unsecured debts are different from secured debts. Lenders grant unsecured debt […]
Why banks should let go of non-performing assets
4 years ago
Non-performing assets (NPAs) are debt instruments on which borrowers have failed to make the agreed payments for an extended period. As a result of ongoing defaults, NPAs do not yield any income for the lender. Effects of non-performing assets NPAs do not yield any income. So, carrying them on your balance sheets creates three burdens […]
How to improve banks profitability through the management of NPAs (non-performing assets)
5 years ago
Non-performing assets (NPAs) are among the leading causes of declining profitability in banks. You can improve a bank’s profitability through the management of NPAs. Effective management of NPAs is essential in keeping a bank or other lending institution operational. The management of existing NPAs can be difficult and may often lead to debt collection measures […]
What is the goal of the good bank-bad bank structure
5 years ago
After the 2008 financial crisis, the federal government introduced several different measures to help beleaguered financial institutions. One of these was the good bank-bad bank structure. This structure is still used today. And, is as relevant and useful as ever during the post-COVID-19 economic downturn. What is the good bank-bank structure? After banks started to […]
Solutions to financing a government contract
5 years ago
Have you, as a small business owner, ever considered bidding for government contracts with the help of factoring? Not only are government agencies at all levels – federal and state to county and city – mandated to work with small businesses, they also need just about every type of product or service you can imagine […]
4 ways to use factoring for government contracts
5 years ago
Once (preferably before) the champagne has been popped because you have been awarded a government contract, you should think about using factoring as a way to finance the fulfillment of the contract. There are 4 ways to use factoring for government contracts. Government agencies large and small are mandated to support small to medium business […]
How does a revolving line of credit work?
5 years ago
Many small business owners searching for viable funding options will investigate the pros and cons of revolving credit. It is quickly becoming the go-to credit solution due to its flexibility, convenience, and reduced interest. You pay interest only on the amount you draw. The question is, what is it? How does it work? Is it […]
Choosing the right factoring company for your business
5 years ago
The right factoring company can help to get rid of the frustration that comes with client payments (or the lack thereof) at the end of each month. According to an economic report released by Sage, late payments cost small and medium enterprises an estimated $3 trillion globally per year. According to the report, approximately 13% of […]