Getting Your Communications Financing Through Factoring
If you own a telecommunication company, you probably realize that banks often balk at the thought of offering communications financing, but why? Read on to learn about getting the financing that your business needs.
Banks and traditional lenders don't like the risk of the telecom industry and often won't wager money on it. The telecom business is cutting-edge, and you need communications financing that matches your needs. This is where the money miracle of "factoring" comes into play. It's a communications financing solution with the telecom industry in mind.
The ABC's Of Communications Factoring
Factoring uses your invoices to get working capital. Instead of waiting for them to get paid or, worse, chasing around your debtors to get the money, you can sell your invoices today and get the cash you need right now. It saves you time and gets your business the funds it needs.
The way factoring works is that a company will purchase invoices from you at a discount, providing you with the funding you need for your business.
Cash In Hand And You Don't Have To Pay It Back
Let's look at how factoring compares with getting a business loan. With a loan, the burden is on you to convince officials that your company is viable. If you're a telecommunications company, it can be difficult to do without the solid assets most companies have. If you get the loan, you'll have the money you need, but you have to pay it back with interest.
Factoring means selling your invoices. You get the money immediately to put into your business and there's no need to pay it back.
This method of offers an option for a quick shot in the arm for your company - one that could spur greater growth in the future. This option in communications financing gets you the money you need today to keep your business running smoothly.
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ABOUT THE AUTHOR
Telecom financing isnít easy, but if itís your business weíre talking, it has to be done. To learn about getting it done, visit: http://www.thermocredit.com.