We Deliver The FUNDS
We Deliver The FUNDS
Financing Service Providers
0.69% to 1.59%
Account Receivable Financing is our Business:
Invoice Factoring & Financing Receivables for Service Providers
Invoice factoring for service providers allows businesses to convert their outstanding invoices into immediate cash, helping them maintain steady cash flow without waiting for clients to pay. Service providers, such as security companies, marketing agencies, and IT firms, can use this solution to cover ongoing expenses like payroll and overhead.
At 1st Commercial Credit, we can assist your service based business by allowing you to offer credit to commercial accounts and grow your business. The extension of credit is evaluated by the financial strength of the customer (Buyer), not our client (The seller). This method allows our prospective clients to acquire funds within days of completing an application with minimal paper work.
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20+ Years In Business & Over 3,600 Clients Funded
Fast Approval Process
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3 to 5 Day Initial Setup
No up-front fees nor hidden fees
20+ Years In business & Over 3,600 Clients Funded
Fast Approval Process
3 to 5 Day Initial Setup
No up-front fees nor hidden fees
Service Providers Use Accounts Receivable Financing
1st Commercial Credit is an invoice factoring company that provides financial services and lending to service based industries. Invoice factoring can help Service Providers benefit the most by financing their receivables.
If you review most businesses that are providing a service to commercial accounts, they rarely can offer tangible assets to pledge against a loan.
Banks prefer to lend against land or property, inventory and auctionable assets that can easily be liquidated. It is for this reason, that many service industries are turned down for a loan or are approved with limited funds for working capital.
Asset Based Finance For Service Companies
Many companies benefit from asset based financing including service providers, manufacturers and distributors. It had become a major source of funding for companies seeking to grow capital or general working capital.
Usually, asset based lending companies structure their loans with an advance on accounts receivable, which is a very liquid and desirable asset to lenders. However, this isn't to say that lenders aren't willing to make ambitious advances on other sorts of collateral such as accounts receivable, inventory, business equipment, and more.
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Using Your Accounts Receivable Asset for Business Growth
Your production line no longer has to be disrupted, businesses can easily tap into their receivables asset for immediate cash flow. You may offer credit terms to new and larger customers at an affordable cost, take advantage of early pay discounts offered by your suppliers, buy larger quantities with additional discounts, and countless other opportunities that your manufacturing business is missing out on.
Manufacturing facilities that need to offer credit terms to customers utilize our funding program.
Accounts receivable loans for manufacturers use the company's outstanding invoices. Money is tied to these unpaid invoices that the business needs to access to cover for daily operations. Accounts receivable or receivables represent a line of credit extended by a factoring company like 1st Commercial Credit.
Most companies have to accommodate and sell to their customers on credit terms. This means they deliver the goods and services immediately, send an invoice, then get paid a few weeks or months later. Having a large number of customers is excellent. The problem comes when some of them are paying late or are not paying at all, hurting your business. 1st Commercial Credit can offer an optimal financial solution to solve your business's cash flow issues.
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Service Companies use their Accounts Receivable Asset for Business Growth
Service companies that need to offer credit terms to customers utilize our funding program.
Here is a list of typical service industries we fund:
Service based companies can easily tap into their receivables asset for immediate cash flow. You may offer credit terms to new and larger customers at an affordable cost, take advantage of early pay discounts offered by your suppliers, buy larger quantities with additional discounts, and countless other opportunities that your manufacturing business is missing out on.
1st Commercial Credit offers factoring services to small and medium-sized businesses with as little as $10,000 a month in sales volume and up to $10 million in receivable assets. If your business would benefit by converting your accounts receivable to working capital, we can help. Get initial funding in 3 to 5 working days. No financials needed, No up-front fees to set up, it is that easy.
Service Providers Are Experiencing Common Cash Flow Problems
When your company sells on credit terms:
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Many Service Companies Benefit From Our Payroll Funding Program
1st Commercial Credit offers a simple cash flow solution for service providers across the nation. If you provide professional services to slow paying businesses, your cash flow can be affected. You can resolve this financial issue with 1st Commercial Credit’s invoice factoring program for service providers.
Many companies benefit from working with accounts receivables financing because it has a more straightforward application process. Businesses in this industry sometimes may not have sufficient working capital if their needs are seasonal or they cannot pay providers promptly. Bank loans may be an option, but they typically have a long list of strict requirements for approval. However, the bank loan option is not feasible for businesses just starting up or others going through financial difficulty or lack adequate collateral.
On the bright side for service providers, invoice factoring is an alternative funding option. Factoring uses the invoices in exchange for advancing funds. Once your business is approved, you can qualify to receive a percentage of your invoice value immediately with a reserve payment of the remainder when the factor collects.
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Payroll funding is a simple process:
- Submit your outstanding invoices for work completed.
- We will verify the invoices and advance fast cash within 24 hours.
- Your clients will pay us directly
- Lastly, we will send you the remainder of your invoice value after deducting a small factoring fee.
A payroll line of credit, also known as invoice factoring or payroll funding, is a form of financing specifically designed for the service industry. Many companies have to wait 30-90 days to collect payment on pending invoices. Still, many of these businesses need to make payroll far sooner.
By selling your receivables for cash upfront, your business will have access to the following:
- Steady cash flow
- Sustainable growth
- Resolve common financial challenges
- Unlimited funding potential
- Manage and fulfill funding
- Avoid late payment fees
A third-party lender like 1st Commercial Credit can be one of your most valuable additions to your company. As long as you provide professional services to other companies, you can factor those invoices for immediate cash. 1st Commercial Credit offers to factor for service providers including attorneys, accounts/CPAs, architects, business consultants, marketing firms, and public relations agencies. We also have extensive experience providing payroll funding for staffing agencies and many other firms.
Service Providers Factoring Cost (Rates and Fees)
When considering factoring services for your service-based business, understanding the costs involved is crucial. At 1st Commercial Credit, our rates are designed to be competitive and transparent, ranging from 0.69% to 1.59%. These fees reflect the flexibility and speed of our cash flow solutions, ensuring you can access the funds you need quickly without hidden costs. Whether you need immediate capital to cover payroll, manage operating expenses, or seize growth opportunities, our factoring rates offer a cost-effective way to strengthen your business's financial stability.
FAQ About Service Providers and Factoring
At 1st Commercial Credit, we emphasize transparency in our pricing. Our rates, ranging from 0.69% to 1.59%, are designed to be competitive and clear. There are no hidden fees, and we provide detailed information about all costs involved so you can make informed decisions about your cash flow needs.
No, factoring does not negatively impact your client relationships. The factoring company handles collections discreetly and professionally, ensuring that your clients continue to receive high-quality service while you benefit from improved cash flow.
Factoring can support future growth by providing the immediate cash flow needed to invest in new projects, hire additional staff, or expand operations. By freeing up capital tied in unpaid invoices, service providers can seize new business opportunities and scale their operations more effectively, driving long-term growth and success.
