Need to Give Your Financial Reserves a Boost? Consider Payroll Factoring
Written by US Funding on January 28, 2016
To help ensure that your company continues to thrive, it is always a good idea to have a plan for the upcoming year. This could involve revisiting your original business plan and making changes or revisions. Or this may mean creating something new just for the next 12 months. Depending on how detailed you would like to get, you might even want to plan for each month or week. And while customers are obviously important – both current and future ones – you do not want to lose sight of the people who are instrumental to the daily operation of your business: your employees. Without them, you would not be where you are today. And if you have lofty plans to take your business to a new level in 2016 and beyond, you will definitely need to rely on your employees to make it happen. Because your workers are critical to the success of your business, you need to ensure that they are always well taken care of. You may have shown your appreciation with a year-end party or holiday bonus, which are always good. However, employees need stability and consistency, especially where their pay is concerned. This is why many companies decide to use payroll factoring to cover salaries.
How Does Payroll Factoring Work?
Payroll factoring is a fairly simple process. Your business has customers to whom you have delivered products or services. You are now holding invoices that need to be paid. But instead of just waiting until you receive the payment, you can sell those invoices for immediate money. Thanks to payroll factoring, you will have funds right away that you can use to pay all of your employees.
What are the Benefits of Payroll Factoring?
As mentioned, you will not be able to do anything without your employees. They keep you going, and chances are you have developed a good relationship with many of them. Perhaps you even think of them as more than just your workers. However, as loyal as employees are, they will not stick around if you are unable to pay them. They may have been working for you for several years, but because they have bills and families and other expenses, a regular paycheck is vital. The biggest benefit of payroll factoring is that you can always make sure your employees are paid. You will not have to sit around waiting for those checks to arrive from your customers. Payroll factoring will give you quick cash so all of your employees will get their paychecks on time.
Future Cash Flow Issues Can Be Solved with Payroll Factoring
You may have quite a few deals and customers lined up for this year, but you should never forget about your employees. If you anticipate a lack of positive cash flow, just get in touch with US Funding. With our payroll factoring services, you will never have to worry about losing workers because you can’t pay them. Since we pay you cash for your receivables, you don’t have to undergo a time-consuming approval process…factoring is not a loan. We take over the responsibility of collecting your receivables.