Do you own a business or dream of starting one? Do you fear the challenges of securing a business loan from a bank or private lender? You’re not alone. 92% of new business startups would be declined for financing from a banking institution in today’s economy.
America is built on an open market full of competition with opportunity everywhere you look. People have special talents that need to be in the spotlight. Securing instant business capital is easier than ever when working with Warren Capital. We have several markets in the accounts receivable purchasing industry. Factor financing is a cutting edge financing solution for businesses large and small.
Let us use this scenario as an example:
Joe Smith owns “Joe’s Welding”. He runs the business all by himself. Joe is an excellent welder and is quickly earning more business than he can handle in a 40 hour work week. Unfortunately Joe is unable to hire any help because his cash flow is so depleted from the amount of business expenses he’s accrued from an increased work load. Joe is experiencing what we call growing pains. It’s an excellent problem to have, but problems can create business failure if not dealt with properly.
Once Joe completes a job, he sends an invoice to his client and waits anywhere from 30 to 60 days to be paid. When Joe’s business is increasing at such a rapid rate, it can be very difficult to continue floating day to day business expenses while waiting 45 days on average for accounts receivable. This is where factor financing can help. For a very minimal percentage of Joe’s invoice, Warren Capital contracts with Joe’s Welding to purchase his invoices and advances Joe’s business up to 92% of the invoice value the next day. By eliminating accounts receivable waiting time, Joe is free to hire employees, keep stocked on work supplies, have emergency cash on hand and not to mention get rid of his time consuming calls chasing overdue bills.
Once Joe’s invoice is purchased, Warren Capital continues the billing process to Joe’s client and follows through with collecting payment. If Joe’s advance rate was 92% of the invoiced value, the existing 8% (minus the factoring fee) will be transferred to Joe when his client has submitted payment to Warren Capital. Warren Capital will work with Joe’s clients to make sure payment is completed in a timely fashion and relieve Joe of harassing collection calls.
Cash flow is king! Call or email us today to see how Warren Capital can get your business to the next level. Big or small, we can help you achieve a level of success that you’ve only dreamt.