Part of every business plan should be plenty of options on how to best leverage product, sales and capital income. While all of these factors may play a large part in your branding process as well, keeping a good balance of profit versus loss can also help business owners to determine how much of their product could benefit from helpful ventures like Universal Funding and Invoice Factoring. Utilizing this type of capital funding for a business can help owners forge ahead into the next realm of possibilities for future updates, upgrades or even franchising.
What is Universal Funding?
Universal funding companies offer some financial services that can help provide some of the capital funding programs that many businesses can take advantage of by leveraging their own products. These programs are most commonly known as accounts receivable financing or invoice factoring options. Programs like these help business owners keep up with or even exceed their cash flow needs, avoiding capital funding problems and even pushing them forward towards greater success in business. These stand-alone financial entities have all their principals onsite and can help a business to manage their daily operations. An expert team of invoice factoring staff can and will work shoulder-to-shoulder with a reputable management team that includes everything from customer service agents to account associates to help any business with product availability flourish.
Frequent Questions about the Invoice Factoring and Universal Funding Processes
When applying for invoice factoring services, most businesses tend to have the same group of questions they desire answered before committing their business to the process.
How does the universal funding process differ from a bank loan? – A bank loan will focus on the creditworthiness of you and your business. For new businesses, this may actually prevent the successful gain of a bank loan. Many simply do not have the built up credit or may have had infractions on their personal accounts in the past. When a business utilizes invoice factoring, the creditworthiness is based on the customer. This means when you are factoring with more established businesses, your chance of success with this type of loan are high. An added bonus is that the process will not enter debt on the business’s balance sheet.
How long will it take to get the first funding? – This process is also head-and-shoulders above bank loan processes as approval can happen in as quickly as two business days. Funding can begin within just a few hours of the initial account setup and invoices are received.
Will the customers know we are factoring their accounts? – A reputable universal funding company will remain mostly transparent to your customers. While invoice factoring has become far more common in dipping economies, a good company still understands that the customers are the most valuable key to any business. Their greatest desire is to keep your relationships with your customers in tact and thriving. For this reason, they always apply great respect and understanding in any communications. These efforts focus on protecting your good will.