Accounts Receivable Financing
Newtek Business Credit is a full-service commercial finance operation delivering cash flow, and related, solutions to small and middle-market businesses across the country. As a non-bank enterprise, business credit is distinguished by its flexible facilities, ranging in size from $10,000 to $500,000. Funds may be used to satisfy a range of business needs, including:
- Working capital purposes
- Meet payroll needs
- Take advantage of trade discounts
- Extend credit to customers
- Fuel business growth
- Pay taxes
The approach we employ is that of a partner, your partner. We look to understand the individual needs of every client, and to support and service those needs through our professional staff that values every relationship.
Start-up and existing businesses alike can always benefit from improved cash flow. Our financing program provides you with capital today, on outstanding balances (receivables) due from your customers.
As an additional service provided to our financing clients, we will monitor collection activity from your customers, which includes detailed reporting, allowing you to improve collection time while reducing bad debts.
Our financing clients will also benefit from our credit protection program. We assume the credit risk on accounts that we approve and finance. We investigate and monitor the credit worthiness of your customers.
We provide a complete paper-based billing service for both financing and non-financing clients. We’ll print and mail statements to your customers detailing account activity and balances. This service also affords you the opportunity to include advertisements or promotional materials along with the statements.
The Benefits of Accounts Receivable Financing
Continuous Source of Operating Capital – Unlike other types of financing, A/R financing focuses on your sales, not your balance sheet. As sales increase, more working capital becomes available to meet the demands of operating your business. Accounts Receivable Financing provides a continuous, long-term source of funds on a short-term basis.
- Early Payment Discounts – A/R financing can provide you the funds necessary to pay suppliers early and receive discounts.
- Volume Discounts – With more working capital available, you can buy in larger quantities and save money through supplier volume discounts.
- No Debt – Because A/R financing is not a loan, no debt is incurred, making it easier to obtain other types of financing.
- Better Credit – A/R financing allows you to pay taxes and bills on time. By establishing a good credit rating, you may qualify for better terms from suppliers and on loans.
- Quick and Easy Funding – The A/R financing application process typically takes less time and effort than other forms of financing.
- The Ability to Focus on Company Growth – A/R financing frees up valuable time and resources spent in collections, administration and bookkeeping, so that you can focus on increasing sales and expanding your company.
Access to Reporting – Our A/R financing program provides you with detailed reports that help you track customers’ invoices and payment history.
Why Finance My Receivables?
Instead of waiting 30, 60 or 90 days to be paid by your customers, we provide you with capital today to meet payroll, take advantage of vendor discounts, hire additional staff, improve your credit rating, pay taxes, or to fulfill many other needs.
What Types Of Receivables Are Eligible For Financing?
Unlike other companies, we’ll finance both business-to-consumer receivables as well as business-to-business receivables. In order to be eligible, the goods or services must be delivered or completed, and accepted by a U.S.-based customer.
Will Financing My Receivables Jeopardize My Relationship With My Customers?
No. Accounts Receivable financing is a widely used an accepted form of financing your business. Further, we do our best to minimize direct contact with your customers.
What Types Of Businesses Do You Work With?
We will work with start-up and existing businesses alike, located anywhere in the continental United States. Many of our clients are in the following industries:
- Temporary Staffing Agencies
- Manufacturing Companies
- Janitorial Maintenance Companies
- Limousine Companies
- Magazines and Related Publications
- Security Guard Agencies
- Printing Companies
- Hardware Stores
- Dry Cleaners
Why Should You Trust Us?
We have been providing our services to clients across the country since 1972. Our experience and track record make us an invaluable resource to our clients. Regardless of your situation, chances are we’ve worked with others just like you.
Do You Work With Businesses That May Be Struggling?
Yes. We specialize in working with businesses that cannot obtain credit elsewhere, whether it’s because of losses, deficit equity, poor personal credit, or other reasons. Our goal is to understand your situation, and work with you to get through the tough times.