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.
If you are looking for an alternative form of financing that doesn't involve a bank, 1st Commercial Credit's invoice factoring program is the solution. Many companies in Pittsburgh find traditional financing to be costly and challenging to obtain. The fastest way to have cash upfront is through a factoring company that offers immediate and easy funding. 1st Commercial Credit can assess, approve, and provide financing within 3-5 working days. Accounts receivable factoring is an ideal financial solution to improve cash flow when payments take 30 days or more to come in. A factoring company is usually the perfect alternative if:
Once you have determined that factoring in your receivables is the right path for your company, the next step involves evaluating a list of potential factoring companies in Pittsburgh to find the one that can offer the best rates and service. Here is a list of a couple of points that as a business owner you will need to think of when selecting a factoring company in Pittsburgh:
Experience is Key
Ideally, the lender you choose should have a couple of years of experience financing receivables in your industry. You can request the company's track record and references to get a good feel for the company's experience working with similar businesses. The references you contact ideally should have an equal sales volume to your company's.
Understanding The Contract Terms
You want a factoring company that can provide affordable and competitive rates and contract terms. It is always best to clarify the terms before signing any legally binding agreement. You will also want the opportunity to negotiate and get the best possible rates and terms for your Pittsburgh business.
Financing Receivables Gives You Cash in Days, Not Weeks or Months
It can be a pretty challenging and time-consuming task to apply for a bank business loan. Typically, the process for a bank loan can take anywhere from several weeks to months to get approved. In addition, you often have to begin repaying the loan immediately the following month at a high-interest rate. For many businesses, obtaining an accounts receivable loan from a factoring company makes more sense as it is a more accessible financing alternative.
1st Commercial Credit makes the whole application and funding process easy. We don't require any other collateral except the receivables and do not make decisions on your credit rating. Since we obtain payment directly from your customers, we are more concerned with your client's creditworthiness.
Receive Your Money Fast and Use It As Needed
After you receive the funds, you are free to use them as you deem appropriate. Many newly established businesses will use invoice factoring to increase cash flow to grow the business. Other companies have seasonal sales and depend on 1st Commercial Credit to get through the slow times. Our financial solutions are more affordable and convenient than anything you could get from a bank.
Use Our Money and Take Advantage of Opportunities
A business owner who doesn't solve cash flow problems might miss out on vendor discounts, be forced to make late payments, and struggle to fund payroll for employees. Eventually, the business will run out of money for fixed expenses and growth opportunities and risk closing down. A good cash flow is vital for any Pittsburgh business. Issues with cash flow arise when a company does not have enough cash to cover its basic costs. Everyday situations causing cash flow shortages to include:
Partnering with a specialized lender or a company that factors to solve cash flow problems can empower any business to have a safety net and avoid possible financial trouble. Covering expenses and paying current debt can be a struggle when the cash going out of a business exceeds the money coming in.
Invoice factoring can solve cash flow issues by selling your receivables to a third-party lender in exchange for working capital. The factoring company will advance your company a percentage of those invoices minus a factoring fee. If you can prove you sell to creditworthy customers, cash will be available 24 hours after the application is approved. 1st Commercial Credit is an experienced invoice factoring company with supply chain finance solutions and can evaluate your Pittsburgh business's receivables today.
Other benefits of factoring services are:
Banks prefer to finance companies with physical assets such as real estate, special machinery, or other equipment they can use as collateral. Unfortunately, many companies don't have a significant property to pledge as collateral, leaving them unable to qualify for bank financing. 1st Commercial Credit funds Pennsylvania businesses by utilizing a company's assets (unpaid invoices) to give business owners the cash they need to succeed and expand.
Often manufacturers have to purchase large quantities of materials and maintain a large staff to run their business successfully. It is critical for manufacturers in Pittsburgh to have cash available for unexpected costs and repairs. Being unable to cover such expenses because of cash flow shortages can significantly affect orders. Additionally, obtaining new clients and bigger contracts is a must for any manufacturing business in Pittsburgh wanting to grow and succeed.
Invoice factoring allows manufacturers to access the capital they need to cover equipment and repair costs, purchase materials, meet payroll, and many other operational costs. Many business opportunities require additional financial resources. Because of this, companies in Pittsburgh need to find the right financial solutions to manage cash flow needs. Invoice lending arrangements can be particularly beneficial to those businesses that lack collateral or have had financial challenges in the past.
Factoring companies for manufacturing focus on designing financing agreements for Pittsburgh businesses that may not be eligible to qualify for traditional lending for a variety of reasons, including:
Asset-based invoice companies can use outstanding accounts receivable to collateralize lending arrangements and provide cash advances to manufacturers. Financing approval decisions are based mainly on the creditworthiness and reliability of the customers that owe money to your company rather than on your credit history. Because of this, it’s a lot easier for manufacturing businesses to be approved for receivable loans and lines of credit.
In addition, factoring businesses have faster response times than banks. Invoice loans require little documentation and are often approved within a few business days, and in some circumstances, within 24 hours. By taking advantage of our alternative financing services, companies in Pittsburgh can obtain the materials needed to manufacture their products and deliver them on time. In this competitive sector, this may also help assure a positive start for new client relationships.
In summary, factoring provides working capital for manufacturing firms and is the ideal financing alternative because of the following reasons:
Waiting extended periods to receive payment is a common thing for the healthcare industry. If slow-payers are hurting your business, you could benefit from being paid “sooner” with our medical factoring services. Two different kinds of medical companies can benefit from healthcare accounts receivable financing. The first type is a provider that bills third-party payers like Medicare, Medicaid, and insurance companies. The second is a vendor that sells goods or services to the healthcare industry (medical supply companies, medical transcription, nurse staffing, etc.) Both types of healthcare companies benefit immensely from invoice factoring because each routinely bills creditworthy slow-paying customers.
Our factoring services offer a fast and straightforward way to obtain working capital for your medical business. With these funds in hand, you’ll have the ability to hire new staff, open new locations and expand your business. There are no limits to the funding you can obtain as your funding increases with your invoices. Medical factoring is a financing option that allows you to grow your financing along with your business. We also offer medical staffing factoring for companies in need of funds to cover their payroll responsibilities.
Medical receivables financing is immensely beneficial for vendors and medical providers wanting to maintain a positive cash flow when their customers take weeks or months to pay them for their services or goods. We fund the following healthcare businesses:
Being competitive in today’s business world requires investments in different technological advances. Information technology financing allows companies to reduce upfront cash outflow and retain valuable cash reserves for other expenses.
Factoring offers many benefits, and a major one is that it is suitable for startups as long as their clients are creditworthy. Another one is that it does not require any assets, making it an excellent financing alternative for businesses that do not have substantial collateral or have already pledged their assets to the bank. It is a reliable and simple way to obtain working capital to fund expenses, such as payroll for developers and engineers.
We work directly with many different IT businesses, including IT staffing, high-tech manufacturing, technical consulting, engineering consulting, and customer support services.
1st Commercial Credit funds information technology companies specializing in servicing data migration for large data centers. Factoring companies should understand the different types of billing methods used by the IT service industry. Some clients invoice in phases like planning the task, implementation, analysis, and the actual migration, while others invoice hourly rates. We have extensive experience and knowledge working with the IT industry and provide the best financing programs and services.
1st Commercial Credit has over 18 years providing technology companies with cash-flow solutions. Providing a steady stream of cash makes it easier for these types of companies to take on new contracts and grow the business. We also specialize in invoice factoring for the following Tech Companies:
As the demand for IT financing continues to grow, so does the list of IT companies we finance and the services we can provide. Regardless of the service or product you provide, we can help ensure you have the working capital you need to fund your business.
Pittsburgh has become a hub for technology, manufacturing, education, and healthcare. Many top corporations call this city home, but several emerging companies and industries are growing and being added to the list. Pittsburgh's top five leading industries are advanced manufacturing, healthcare, energy, financial and business services, and information technology. Pittsburgh's location has helped place it as a leader in these industries. Additionally, its location in the beautiful Western Pennsylvania region gives lots of advantages to many emerging industries. Pittsburgh has 18 commercial railroad systems, the second-largest inland port in the U.S., has access to several interstate highways, and more than 50% of U.S. buying power within 500 miles. On top of this, Pittsburgh International Airport continues to add new nonstop flights every day. This city also offers the advantage of being in the Eastern Time Zone and having a low risk of natural disaster. Some of Pittsburgh's emerging industries are robotics and artificial intelligence, cyber security, and additive manufacturing.
Pittsburgh offers a little bit of everything for everyone. There are many fun family-oriented attractions to enjoy with the entire family. The city also has many different history museums, visual and performing arts theaters, galleries, and public art installations. Pittsburgh is home to The Andy Warhol Museum, which has the largest collection of Warhol art and archives globally. Pittsburgh offers many ways to tour and sightsee around the city. By discovering the city, you can learn about its culture, food, shops, and neighborhoods. The city is also famous for being the City of Champions. It is home to three professional teams: the Steelers, Penguins, and Pirates.