If you are starting a company in todays economic environment funding can be very tough to get. Acquiring funds and financing for your start-up is nearly impossible. Bank’s credit guidelines are incredibly strict. Chances are, unless you’re a seasoned business with a proven track record and good corporate credit, the banks will not grant a credit line. With a lot of startup companies, the only viable asset is the account receivables they currently have outstanding. With that kind of a balance sheet, it’s difficult to find the funds necessary to thrive in your competitive industry.
If you are selling a product or service, terms are going to be required as well. The company might be selling a product to the government, to a large company, to a distributor or possibly retailer and the terms could be 30, 60 or even 90 days. Lets say the company started with $10,000, $20,000 or $50,000 in equity, they perform the service and then all their working capital is tied up until the money comes back. Or even worse the company might have to turn down contracts or large orders because they are simply undercapitalized. There is a solution called factoring.
A factoring company can help a business such as this keep their working capital at healthy levels while it takes slow paying customers to pay. Lets say a company supplies guard service, IT staffing or a service such as logistics. Either service or hard product, the company delivers the goods, the client is happy and there in now no waiting 30-90 days for the money. A factor will advance 85-90% against the invoice and the company gets the balance minus the factors fee. This is an excellent way to keep cash flow humming along where otherwise the company would having serious working capital issues. This can affect their ability to meet payroll and other crucial cash sensitive parts of the business.
Another way the factor can help is through purchase order financing or PO factoring. If you need capital to deliver a large purchase order, then purchase order financing can be a solution to fuel your business with the cash you need to deliver your orders and keep your start-up's cash. PO financing enables you to make sales that exceed your current financial capabilities.
A factoring company can help finance your start-up business when your business sells goods or services for terms. A factor can help both through factoring of your invoices and PO financing.
Paragon Financial have the initiative to afford growing businesses an alternative to conventional bank financing. When banks are unwilling to provide financing, Paragon can promptly offer a steady stream of cash through the factoring of accounts receivables.
For over 18 years, Paragon Financial Group has provided working capital solutions for growing companies throughout the US. They serve small to large-size companies across a wide variety of industries through accounts receivable, invoice factoring and purchase order financing up to $3 million per month in volume. Paragon is a leading source for receivables financing, government contract financing, payroll funding, and purchase order financing. For more information visit www.paragonfinancial.net.
For additional information visit us at http://Paragonfinancial.net or contact: HelpDesk@Paragonfinancial.net; Paragon Financial Group; 800-897-5431 phone; 954.524.3533 fax; http://www.paragonfinancial.net
Links:Fix Computer Errors,How to Restore Xp Cpu Auslastung Immer 100 Error,Internet Has Stopped Working Error Fixer,To Restore Htmlayout.dll Fehlt Error,The Best Way to Fix Browser Not Responding Error,Xml Error FixerBttray.exe Message,Descargar Msvcp71.dll,Installactivexcontrol,Rpc-server Ist Nicht Verfügbar Windows Xp,Verizon Email ProblemConvert Mp4 to QuicktimeCertificate Errors Internet Explorer is seen as the tricky computer system error and cannot be repaired completely by simply reinstalling any of program. fix certificate errors in internet explorer is associated with system file which serves as a important part of Windows operating system. Any modification on the important file can possibly bring about serious problems to the computer system. If you like to restore Certificate Errors Internet Explorer, choose SmartPCFixer.fix computer not responding is defined as a difficult computer system error and cannot be repaired completely by easily installing any program. computer not responding windows 7 is associated with system documents which serves as a crucial part of Windows operating system. Any of modification on the important file can possibly bring about serious problems to the operating system. If you have not found the method to repair computer not responding windows 7, choose SmartPCFixer.
Read More:Navigating a Tough Pregnancy: When Things Aren,Displaying Favorite Collections in a 12 Year Old Boy,Oracle Business Intelligence Solutions,Start to Make Money on the Internet Now,Investment Pertaining to Retirement living - Ideal way to Make investments