Accounts receivable financing is used by businesses to convert sales on credit terms for immediate cash flow. 1st Commercial Credit adopts a quick and simple approval process and expedites initial funding in 3 to 5 working days.
1st Commercial Credit provides a variety of purchase order financing solutions to meet your trade financing needs. P.O. financing is suitable for any wholesaler, reseller, importer or any company that purchases and resells goods.
Business owners can sometimes struggle with managing cash flow and finding sufficient funds to grow their companies. Receivable factoring is a financing alternative that provides businesses with a cash advance on their invoices right away, instead of waiting weeks or months until they're due. New York business owners looking for a simple and accessible financial solution can use their unpaid customer invoices and turn them into fast cash utilizing the services of New York invoice factoring companies. Businesses serving all industries in the state of New York can benefit from this alternative and secure financial solution.
When customers don’t pay for goods or services right away, it can cause cash flow issues, resulting in backup orders, late payments to suppliers, and halted growth. Invoice factoring companies like 1st Commercial Credit can provide cash for your New York business so you can continue fulfilling operational and financial responsibilities.
Factoring receivables is a great option for those companies in need of cash sooner than the receivables are due. Also known as accounts receivable factoring, this financial solution is simple and effective. Using your pending invoices for a cash injection to your cash flow has never been easier. This financial solution is especially beneficial to companies with many aging accounts receivables just sitting there and a growing number of business expenses piling up.
Invoice factoring will streamline your cash flow. Selling your invoices to an invoice factoring company will get you immediate cash in return for those invoices. You won't need to wait for your clients to pay their invoices – and that gives you the power to use the cash and buy materials, fill orders and expand your business.
Invoice factoring is not a loan; when selecting one of the two as a financial solution for your company, it is crucial to understand the differences. Businesses can turn to a bank for a traditional bank loan, but their requirements usually involve a complex and time-consuming process. Banks require an almost perfect personal credit and also ask for collateral. If the business qualifies for all these requirements, the final approval and access to cash can take several months. Factoring allows companies to receive the needed capital without relying on an expensive loan with a high-interest rate and incurring debt. Working with accounts receivable factoring companies will provide you with a quick application and approval processes, fast cash, and a door to growth opportunities.
Obtaining a business loan has always been challenging but even more so today because banks have made the requirements and application process even more complicated. If your company has not been in business very long or has had problems repaying loans in the past, the likelihood of being approved for a bank loan is small.
Usually, businesses that have not been in operation for very long have low average credit and few company assets. These businesses will face difficulty trying to get loans from either the bank or private investors. In contrast to bank loans, invoice factoring makes the whole application and approval process fast and straightforward. It mainly requires that a company has good paying customers and outstanding invoices.
In 2018, construction spending set a record of $61.5 billion in New York City, according to the New York Building Congress. The construction industry is the second-fastest-growing employment sector in New York City, creating thousands of jobs for the people of New York.
The New York Construction industry is facing immense growth and success because it offers employment opportunities to all people, even without a college education but also because the industry pays well. Construction was the fourth highest-paying employment sector in New York City in 2017, with an average salary of $80,200. The sector was responsible for $11.9 billion in wages.
The state of New York has made impressive progress in the construction industry in recent years, expanding its workforce to 30% since 2013 and increasing wages by a percentage over 9%. Even though the covid-19 pandemic hit the construction industry pretty hard, many projects have been announced to pick back bringing architects, engineers, contractors, and construction workers back to work. The construction industry in New York employs immigrants at 59% of jobs in New York City, higher than the rest of the state and nation.
New York has the 4th largest construction sector in the United States with more than half of the construction jobs added between 2010 and 2018. In 2018, construction spending set a record of $61.5 billion in New York City, according to the New York Building Congress. Construction firms generated an estimated $84 billion in economic activity in 2018, representing 10% of New York City’s total economic output
A factoring company (or accounts receivable factoring) converts invoices sold on credit terms to immediate working capital at a discount. It has become a simple, fast and easy way to access business cash flow. In comparison with a traditional bank loan, a company that factors receivables has a quicker approval process.
1st Commercial Credit is a factoring company specializing in evaluating accounts receivable and making a prompt approval decision. The documentation requirements are not as lengthy, and the main requirement is that an applicant has invoices for work or orders that have already been satisfied. It also helps to have creditworthy customers. As long as a business has been in operation, meets revenue requirements, and is free of liens or legal issues, approval is likelier.
Businesses often find international trading is the next step to accelerate their business success and growth. In most cases, the biggest challenge in international trade involves the financial status of a business, specifically the available working capital. The payment terms offered to global suppliers and customers are typically very long, which means payments will take a while to come in. On top of that, the costs associated with this sector begin far before the goods are even delivered.
Often, suppliers require immediate payment (or a substantial deposit) before shipping the goods you need, which usually takes a few weeks to arrive. Once the goods arrive, your company in New York can process the order and forward the goods to your final customer, which also takes a few weeks. In summary, the entire process is very long and will require your company to make multiple up-front payments before getting paid for the order itself. This significant spending needed to fulfill an order will place your business in a cash flow predicament.
On a positive note, export and import finance is the financial solution to all this. Lending companies offering this type of financing will understand your situation and work with your company’s specific funding needs to help make your company’s international trade experience a success. Our international trade finance services help wholesalers, distributors, and importers pay for the initial goods they need to get the transactions moving. 1st Commercial Credit will pay the supplier directly so you don’t have to empty your cash flow reserve, knowing it could be months before getting that money back. The agreement is based on a confirmed purchase order and the credibility of the companies involved in the process. In addition, we will take on the initial cash burden so you can reduce the time your business is taking money out of pocket.
Invoice financing gives you a significant percentage advance on the invoice’s value immediately. Then, when payment is completed for that invoice, the lending company gives you the remaining amount minus a small factoring fee. 1st Commercial Credit can also provide New York businesses with international purchase order financing.
Equipment financing and leasing are types of financing programs designed to buy or lease expensive machinery and equipment vital to running your business. You can use an equipment loan or lease to obtain anything from heavy machinery to office furniture and medical equipment. Specialized online lenders like 1st Commercial Credit provide a wide array of equipment financing options to fit your business' needs and goals.
1st Commercial Credit understands how important it is for business owners to have the proper tools to do their job. We also realize that these purchases can get out of the budget of many business owners. The good news is that we provide some of the best financing options for the machine tool industry, allowing customers to afford the tools they need. Equipment financing and leasing can help your business thrive as it enables you to afford it with manageable periodic payments.
If you're a vendor in the machine tools space, we can help you offer financing to your customers by selling them the machine tool equipment and technology they need to keep their business updated. When you offer financing through us, you will be giving those customers purchasing power and empowering them to succeed while enabling your business success. Financing machine equipment and tools has many benefits. When you have the funds necessary to purchase the highest quality tools, you will be able to better serve your clients. In addition, with proper financing, you can choose between many different types, brands, styles, and sizes of tools that will benefit your company. We are respectful of your budget. This is why we offer small monthly payments that fit within your budget. Lastly, some equipment and tools acquisitions are eligible for tax deductions, which is another advantage of our financing plans.