Cash flow is a problem for many types of businesses, but it can be especially problematic for the oil services industry. Most oilfield service providers offer customers up to 60 days to pay outstanding invoices. The long collection process for outstanding accounts receivable is simply a reality in this industry. Fortunately, factoring companies offer oil service businesses an easy way to turn outstanding accounts receivable into immediate cash. At 1st Commercial Credit, we offer quick approval, low interest rates and other favorable terms.
When your accounting department extends credit to a customer, it forces you to give up access to the cash flow you need to operate and expand the business. Accounts receivable loans for eliminate that problem altogether. This type of loan is smarter than a bank loan or a credit card because you are not gambling on future sales. You know that your oil service company has money coming in within the next 30 to 60 days. When you apply for a factoring loan with 1st Commercial Credit, we use your customer's unpaid invoices as collateral. We forward your company the funds it needs now and then bill your customer accordingly. In the event that the customer doesn't pay promptly, our factoring company handles all collection activity.
Factoring in the oilfiled industry is our business, we understand that time is of the essence when it comes to improving the cash flow of your oil service company. When you apply with 1st Commercial Credit, we make financing decisions the same day. Some of the other benefits of working with us include:
Another option you may want to consider is asset based lending with 1st Commercial Credit.