(PRWEB) September 9, 2004
For many years, clothing manufacturers and staffing agencies have used factoring as an integral part of their business model, now other companies in various industries, are realizing the benefits of using factoring to increase revenues and cushion yearly business cycles. Bill Hansen, CEO of BookCliff (a factoring firm) stated, ÂFactoring is an art. Every company is different, and every company needs an artisan to create the right financing package for their individual needs. We have seen companies from many different industries including, staffing firms, manufacturing companies, service oriented companies, and companies that are simply seeking growth or expansion, use our factoring services.Â
Hansen continued, ÂFactoring is no longer just a tool utilized by the Big Boys, smaller to midsize companies are now realizing the benefits of receiving their cash now verses waiting for 30-90 days.Â When companies need cash to grow where do they go? Banks are usually the first stop, when they say, ÂNo you havenÂt been in business long enough,Â where do these companies go? Hansen says, ÂOur biggest push is to educate people, most companies donÂt even know the option of factoring is available.Â Although the concept has been around for thousands of years people are just now grasping the idea of using it in their time of need.
Cash flow problems due to business cycles can devastate undercapitalized companies and firms. Factoring provides a nice balance during a cash flow crunch that could otherwise lead to a stressful situation. Bill Hansen also commented that, ÂWhen we finance a deal and provide factoring as a service, our main questions to the borrower are, ÂHow is your business currently financed? And, are your clients creditworthy?Â When these two questions are reasonably answered then we can usually provide funding within a couple of weeks.Â
Factoring, as a business, is defined as: the purchasing accounts receivable from business to business, or business to government, for services rendered in the past, for a fee. Companies with legitimate accounts receivable and creditworthy customers, qualify for factoring services. Finding the right ÂFactorÂ that you can trust can be tricky. A couple of suggestions may help: 1. Track Record, ask your factor about previous deals he or she has factored in the past. 2. Service, this would include receivable management, credit protection, and collection of the receivables, this is what sets a factor aside from a bank. You really are getting a threefold service for a fee.
Founded in 1996 by factoring specialist, Bill Hansen, out of St. George, Utah. Hansen dominated the web in the mid 90Âs; Bill Hansen pioneered factoring through pay per click advertising and banner ads. Today he continues to factor deals while speaking to those that are trying to master the art of factoring. Hansen goes out and speaks twice a month at prearranged seminars on the art of factoring, and how individuals can become consultants and be a successful business owner. BookCliff has rewritten the rules of business finance with their creative finance options.
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