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Vendor finance is the condition of finance from one corporation to another so that goods can be obtained from the company providing the credit. Vendor finance has numerous advantages which comprise: • Suppliers boost their sales. • The vendor gets interested in the loan which is generally higher than that offered from other financial institutes. • The vendor has a positive business relationship with the borrowing party. • In many cases, the purchasing company also offers shares in their company as the guarantee, in that way the vendor gains hold of the purchasing party. • Price sensitivity is decreased so the purchase becomes more beneficial. • The purchaser is capable to purchase goods that they would otherwise be impossible to be able to pay for. • The obtainment process is sped up as the purchaser does not require searching for financing. • The buyer's cash flow is simplified as they have a fixed payment to make in a fixed period of time. • During ...

Invoice factoring also is known as factoring is the best way to get instant cash that is tied up in your clients’ outstanding invoices, gives quick access to your future funds earlier. To know how this concept work and how it can help your business, read this blog with complete attention. Why Invoice Factoring could be the best option for your company If your company offers well & services to others where invoicing are clear in 30 to 120 days, then invoice factoring is the best option for you. Actually not only for you but for every business who are looking to advance cash flow by release working capital from unpaid invoices within 24 hours. Best thing is that you don’t have to wait for so long for outstanding payment, and you can manage your business expenses without any hindrance. And unlike an ordinary loan, you don’t have to pay the extra debt of monthly installments. Factoring for Businesses Looking For Expansion Expansion and development plans can freeze wit...

Almost every small business & start-ups encounter a cash flow problem at least once in their lifetime. But the luckily, most cash flow problems can be avoided with a bit of groundwork and smart planning. This write-up lists the most common business financial problems and their solution.  High overhead expenses. Overhead expenses are the expenses that use in running a business but not link directly with manufacture or selling products. Overhead expenses contain rent, telephone, utilities, etc. High overhead expenses can interrupt the cash flow of your business Solution To get rid of overhead expenses problem, you have to audit your expenses and cut back the unnecessary expenses. Be watchful not to cut excessively, as that approach could also badly affect the company's growth. Excessive bad debt Bad debt occurs when a company sell their products or provide services to the clients who are not paying their outstanding payments. Bad debt gives a direc...