It is very common for businesses today to have a limited cushion with regards to cash to draw on to make payroll, buy materials, or to hire additional staff for large contracts and orders. When this is the case for South Carolina companies, turning to a specialized company offering business factoring is a very wise business decision.
Business factoring is not a loan and it is not a debt for the company. Instead, a South Carolina business can sell their accounts receivable, either all or some, to a factoring company. The factoring company then funds up to a percentage of the accounts receivable, providing the business with the cash needed to make payroll, buy materials and supplies, or for invoice funding needs.
There are three critical considerations when choosing a company for your business factoring in South Carolina. Comparing your options on these three elements will help in selecting the right factoring service for your business.
Fees and Costs
When considering any business factoring in South Carolina, take a close look at the fees and costs. This includes any cost for the application process as well as any possible termination fee or the need for a long-term contract.
The best factoring companies don’t charge application fees, termination fees or have endless hidden fees in their agreement. Instead, it is designed to be simple for businesses with online access to the account to provide transparency and immediate information.
Rates and Service
With any type of business factoring it is critical to check the rates charged on the service. The top factoring companies are very competitive, making them a great choice for a business of any size.
Services also range from the basics to full back office and service support. When full service is combined with low rates and fees, it is a win-win situation for any South Carolina business.
Speed of Funding
There are companies offering business factoring in South Carolina offering 24-hour approval on applications and funding available within days from the application. This is much faster than going through a bank or other type of financial institution, and without the need for a personal guarantee the application will be simple, short and designed to be completed online.
Finding the right company for your business factoring will provide your business with the cash flow advantage you need. With the opportunity to fund just what you need, this is an excellent option for a business of any size in the state.