Manufacturing companies in Austin, Texas are experiencing unprecedented challenges in the wake of the COVID-19 pandemic. With banks’ lending less, traditional financing options are no longer viable for many businesses. Fortunately, factoring companies are stepping in to provide the necessary cash flow to keep manufacturing companies afloat and thriving.
Invoice factoring is a financial transaction in which a business sells its accounts receivable, or outstanding invoices, to a factoring company at a discount for cash. The factoring company then collects the outstanding invoices from the business’s customers, freeing up cash flow for the business to use for payroll, equipment, inventory, and operating expenses.
Manufacturing companies in Austin have discovered that by partnering with a top rated factoring company they can count on a steady cash flow supply to meet all their demands. In addition to addressing cash flow issues, factoring also allows manufacturers to take on bigger orders and grow their business. With immediate access to cash, manufacturers can purchase new equipment, hire additional employees and expand their product line. Factoring eliminates the need for manufacturers to seek out expensive internet loans, which always seem to have hidden expenses.
Another benefit of factoring for manufacturing companies in Austin is that factoring companies provide additional services. For example, American Receivable offers free credit checks on all potential customers to help their clients avoid making a delivery to a non-paying customer. This protects their clients from the risk of bad debt.
By offering fast and flexible financing solutions that are tailored to meet the specific needs of each manufacturer, factoring companies are helping manufacturing companies to overcome the challenges of reduced lending by banks. As a result, manufacturing companies can access the funds they need to pay suppliers, cover operational expenses, and invest in new equipment or technology, enabling them to stay competitive in a challenging business environment.
Use our Streamlined Application to receive a free, no obligation proposal to turn your invoices into CASH.
Dakota Stieber dakota@americanreceivable.com 512-339-5112
Jack Stieber jack@americanreceivable.com 972-404-4726
Sarah Fisher sarah@americanreceivable.com 972-404-4726
Brad Gurney brad@americanreceivable.com 800-297-6652
Julie Adams julie@americanreceivable.com 972-404-4726
