Invoice factoring in Missouri is a fast and reliable cash flow solution for businesses in various industries. Many companies in Kansas City have to continue running operations and take care of payroll, bills, expenses, and many other financial responsibilities. Business owners choose this alternative form of financing because they have to wait weeks or months to receive payment. A company sells its invoices to 1st Commercial Credit in exchange for an immediate and considerable percentage of the total invoice value in the form of cash. Then, when your customer eventually pays for the goods/services they received, we will give back the remaining balance after keeping a factoring fee. In summary, invoice factoring allows a company to get “quick payment” after they’ve invoiced a customer, even if the client has agreed to pay later on.
To know if this type of financing would work for your business, it is vital to understand what is invoice financing, the financing process, and the requirements. Compared to bank financing, which requires endless paperwork and a lot of collateral, invoice factoring is a better option. For most small businesses, it might be challenging to fulfill all the requirements. The good news is that 1st Commercial Credit is willing to work with startups and small companies without asking them for significant payment guarantees, demanding long-term contracts, or outstanding credit scores. We offer more accessible and flexible financing alternatives for small and medium-sized companies in Kansas City. The cash advance and factoring fees will vary depending on the factor, the creditworthiness of your customers, and the length of the arrangement.
The best thing about factoring is that you can immediately begin enjoying all the advantages it offers. Business owners don’t need to wait 30, 60, or 90 days for payments. Instead, they can receive as much as 96% of their invoice value without adding new debt to the business. Factoring receivables will improve your cash flow, allowing you to cover daily operational expenses and make substantial investments to grow your business.
Some of the extra benefits of factoring include:
Another good thing about account receivable loans is that they offer competitive and accessible financing rates starting at 0.69% to 1.59% and can evaluate your situation today. Once we have reviewed your cash flow needs, we can structure the best financing arrangements to fit your business needs and goals.
1st Commercial Credit can facilitate buyers with a financial service that provides additional working capital to pay suppliers. Trade payable financing is the process of financing goods or services in a transaction that goes from a supplier to the end buyer. Trade finance refers to a range of financial instruments, including invoice financing, purchase order financing, supply chain finance, and letters of credit. We will pay the suppliers on your behalf on the due date and collect from the company later. Trade payable finance is best suited for those companies sourcing from crucial suppliers and looking to extend the payment terms.
Business owners in Kansas City can take advantage of early payment discounts offered by vital suppliers or extend payment terms. We can allow your company to access up to $10 million in purchasing power within a few working days.
In a few words, we pay your company to make money by using our services. If you're passing up on early payment discounts to suppliers, you can use our money to pay them and take advantage of our trade payable program. Trade payable financing makes it simple for buyers to sign an agreement with us that involves minimal paperwork and that is done within 3 to 5 days. Avoid the long and complex list of items required by other lenders to set up.
If you're a distributor, manufacturer, or you're buying goods internationally, using trade payable financing can help your business conserve cash and run operations more smoothly and efficiently. This financing method relieves cash flow issues by financing a purchase at a more generous advance rate or over a more extended period. Some benefits of trade payable financing for buyers include:
There are many trade payable finance companies to choose from. Buyers need a simple process to apply, a quick method to approve vendors, and a flexible system for the staff to learn the process. If the system is too complicated, it will fail. The main focus is to make it extremely simple for the supplier to submit an invoice and the payables department to approve, authorize and track. 1st Commercial Credit is a specialized lender providing export trade finance to business owners in Kansas City.
The healthcare industry has experienced a period of unprecedented growth in Kansas City. Companies providing medical services serve many patients and can significantly benefit from healthcare accounts receivable factoring. Unfortunately, the amount of money insurers pay for insurance claims has considerably decreased and takes a long time.
Having more patients and dealing with longer payment times can often result in cash flow problems. Even though most healthcare businesses will run into this issue, few business owners will know how to handle it. One popular solution to solve cash flow issues is working with lenders that offer financing for companies in Kansas City.
Our factoring services provide:
Hospitals and healthcare businesses have to deal with the pressure of meeting their daily obligations. They have numerous expenses, including payroll, leases, and equipment, which must be paid on time. 1st Commercial Credit offers efficient and straightforward solutions to improve cash flow. Some of these solutions include accounts receivable financing, medical factoring, and purchase order financing. The healthcare company gets the funds it needs to pay business expenses and grow, and patients get the care and treatment they deserve.
When medical companies factor receivables, it allows them to finance their medical claims with our help. 1st Commercial Credit gives you an advance on your claims, giving you immediate access to working capital. Transactions are ongoing and settle as insurance companies pay claims on their established payment schedules. In addition, medical factoring is considerably easier to obtain than traditional financing. The lines of credit are more flexible and don’t have strict requirements.
A freight broker typically brings together a shipper with goods to transport with an authorized carrier providing services. Freight brokers help shippers find trustworthy carriers to place their loads at a fair cost, and they earn commissions for these services. In many cases, brokers coordinate all the shipping and transportation management needs of a company. As an intermediary, sometimes these brokers have to wait to receive payment from a client, which can slow your company down.
This situation will make payments to carriers challenging to fulfill, preventing you from taking on new loads. The good news is that we provide financial services for all businesses in the freight and trucking industry that help them close the payment gaps and achieve success.
Getting approved for financing programs for semi-trucks and other trucking-related equipment is easy with 1st Commercial Credit. In the past, when business owners needed to purchase equipment, they had no option but to turn to a traditional lender or bank to fill their equipment needs. Unfortunately, most banks deny financing to small transportation businesses because of many different reasons, including low credit, not many years in business, and lack of collateral, to mention a few. Thankfully, there is the option to work with a specialized online lender to get the equipment through different financing plans.
We offer a popular program, the reefer, van, and flatbed trailer financing, for companies looking to acquire these vehicles for their operations. Equipment financing involves purchasing the equipment through a loan facilitated by a lender like 1st Commercial Credit. We also offer equipment leasing, which allows you to rent a piece of equipment from a lender. We can provide you with the best rate and financing plans depending on your business qualifications. Our trailer financing rates start at 8.9% and go up to 14.9% for businesses with good credit and more than two years in operations. We also offer financing solutions for newer companies under one year in business or with challenged credit.
Bank loans and leasing from suppliers are still options, but the qualifying process, requirements, and customer service often aren't good enough. Some of the disadvantages involved with bank financing involve:
The good news about working with an experienced lender like 1st Commercial Credit is that business owners can enjoy many benefits and acquire a loan in less time and with less effort than with any other lender. There are also various financing and leasing options to choose from, including our box truck financing program, where our team of specialists works closely with you to find the best financing plan tailored just for you.
Kansas City is in the Midwest, right on the border between Kansas and Missouri. This city is famous for its steaks and barbecue, earning it the title of the "Barbecue Capital." Kansas City has a legacy in jazz history that can be explored in the Historic Jazz District. Another historic area is the Westport Neighborhood that displays antique shopping and river cruises. Kansas City is also home to several museums, including the Arabia Steamboat Museum and the Nelson Atkins Museum of Art. Some places to visit in this world-famous city include the National World War I Museum at Liberty Memorial, Nelson-Atkins Museum of Art, Arabia Steamboat Museum, Union Station, and many more.
Kansas City’s economy is supported by various companies and is a national leader of several key industries which are integral to regional economic growth. These crucial industries include distribution and transportation, eCommerce, manufacturing, animal health, technology, and the financial sector. In addition, the utility and telecommunications infrastructure has enabled Kansas City to develop several thriving contact and data center operations. Kansas City is also an ideal location for corporate headquarters.