ACCOUNTS RECEIVABLE PURCHASING
Accounts Receivable Purchasing is a very straightforward financing solution. You receive immediate cash in exchange for ownership in the payment of your receivables. At Capital Associates, we pride ourselves in not only providing you with cash for your receivables, but also providing you with a variety of other valuable credit and A/R services. Using Capital can be the first step in ensuring the future growth and success of your business.
When you sell your receivables to Capital, you have at your disposal a whole range of financial services that will increase efficiency while reducing some or your A/R management responsibilities and credit risks associated with doing business. We help you avoid doing business with slow or non-paying customers with our credit checking service. We provide a comprehensive billing follow-up program that reduces turn time on your invoices. And our services include a network of management reports (also available online) that enable you to make informed decisions.
The variety of services, performed by Capital, enables your staff to focus more time on activities that produce sales, resulting in an increase in your revenue, profitability and ability to grow your company.
Capital Associates is an innovator. Other companies have followed our lead in offering similar services, but few provide the range of programs or the quality of personalized, conscientious service we offer.
Unlike some large financial institutions, we are able to get to know each of our clients as individuals, and tailor our services to their special needs. We have been rewarded by long client relationships. The loyalty our clients have demonstrated over the years is proof of our dedication to their success.
Because we rely on the loyalty of clients like you, we have a vested interest in helping you succeed. We're constantly looking for new ways to serve you, and new possibilities for improving your future.
Accounts Receivable Purchasing: Instant Cash for Receivables
Selling your accounts receivable for cash gives your business access to critical working capital and a steady cash flow to meet all of your payables, any growth-related expenses, and to take advantage of early payment discounts.
Accounts Receivable Purchasing differs from other types of financing in that you are selling your receivables, not borrowing against them, so its does not create a liability on your financial statement. As a result, your company presents a stronger balance sheet.
In most cases, when you use Capital's Accounts Receivable Purchasing program, you receive your cash within 24 hours.
Who Can Benefit? Any Company that is Interested in Growth and Profitability.
Accounts Receivable Purchasing improves your growth potential by improving your cash flow. An improved cash flow means an improved ability to meet daily requirements of doing business. If your working capital requirements are met, and exceeded, the increased cash flow can be used for funding growth, buying equipment, opening new markets, hiring personnel or increasing marketing efforts.
Increased cash flow also means you can take advantage of cash discounts for early payments and maintain your credit rating while meeting payment schedules. And when your staff is free from the burden of a sluggish cash flow, they can concentrate on the income-producing activities that foster growth.
When you improve your cash flow through the Accounts Receivable Purchasing program, you are able to take advantage of growth opportunities as they happen.
Qualifying
Banks and other regulated finance companies have many federal or state regulations that often make it difficult for them to finance new or smaller businesses. We are more flexible because we aren't required to operate under the same restrictions they are. Capital
is not bound by certain financing criteria, such as length of time in business or hard-to-meet financial ratios, including debt-to-equity, working capital and profitability.
At Capital, your potential for success is weighted more heavily than your current balance sheet or income statement. If we can help you achieve the growth and profitability you want, we have a satisfied customer, and we both benefit.
Programs to Manage Growth Successfully
As your business grows, your billing, credit checking, accounts receivable, and collections become more complex. Many small to medium-sized businesses cannot afford a large staff or an outside consultant to help with these problems. Capital Associates offers a number of services that effectively deal with "growing pains."
The following services are available on an as-needed basis as part of a Capital Associates Accounts Receivable Purchasing program. You may utilize these services as they apply to your business needs.
Finding a plan that will help you manage your accounts receivable more efficiently, and therefore save you time and money, is one of the ways Capital helps ensure your success.
Nothing is more costly than providing a service and then not being paid for it. Our staff can help you eliminate the guesswork about your customers' credit-worthiness with our extensive database and access to national credit bureaus.
Credit Checking
• Reduces your exposure to potential losses.
• Identifies potentially slow paying customers.
• Frees your staff to concentrate on revenue producing tasks.
Billing Follow-Up: Shortening Your Payment Cycle
You simply prepare your billing as normal and present it to Capital Associates for immediate payment. We bill your customers and monitor the billing cycle using systematic follow-up procedures we have developed. These proprietary methods are designed to detect potential payment problems and eliminate delays in payment.
Capital's billing follow-up can:
• Reduce your accounts receivable turn time.
•Provide you with early identification of payment problems.
• Maintain the integrity of your customer relationships.
• Enable your staff to spend more time producing income and less time collecting it.
Reporting: Keeping You Informed
Capital prepares management reports on accounts receivable activities that will provide you with useful information about your business and your customers. This information, which is all available online, will make a critical difference in your ability to plan, forecast and make decisions about your company's growth.
Capital's reporting system allows you to:
• Improve your ability to make prompt, informed decisions.
• Provide a basis for evaluating customer performance.
• Save staff time that can then be directed toward producing income.
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