Tag Archives: accounts receivable factoring

Keep The Tax Man At Bay

Mar 28 2017 in Business Cash Flow

Keeping on top of lodging and paying your BAS on time can be challenging for most companies. Even if your business has all of its finances in order, it is still often a mad rush to get your tax information in on time and your tax bills paid. Often, these tax bills can strike us when we’re not ready for them, putting stress on your business’ cash flow.

If you are struggling to meet your tax bills don’t despair BCashflow Positive can help.  As a leading invoice finance company with 27 years experience, we can help you stay on top of your ATO obligations by unlocking immediate cash from your unpaid invoices.

How accounts receivable factoring can free up cash flow

Sometimes your clients can take up to 3 months to pay their invoices, and this can feel like forever if your business has bills to pay and salaries to meet. The financial strain can be more stressful particular around tax time.  Accounts receivable factoring gives your business the option to get an advance based on what your customers owe you. In other words, your business can seek finance based on your accounts receivable.  Accounts receivable factoring can release immediate cash flow from your unpaid invoices, allowing you to pay your tax bills on time, reinvest into the business, pay for goods or services or pay wages on time.

How accounts receivable factoring works

You invoice your clients for goods or services and simply senBCashflow Positive a copy. We advance you with up to 80% of the invoice face value in as quick as 24 hours.  Then we work with you to help follow up on payment and pass on the remaining 20% less any accrued fees when your client pays us.  The beauty of accounts receivable factoring is that it can cover the gap of slow payments and provide you with immediate cash flow. This will stop you having to juggle bills and other business expenses with limited cash flow.

Accounts receivable factoring at tax time

As a business owner, you know that it isn’t always smooth sailing. You can have a lot of work on at one time, followed by a work drought with no money coming in, and these ups and downs can put a heavy strain on the running of your business.  When your tax bill arrives, you want to ensure you have the money to pay it without the hassle. And by contacting us at BCashflow Positive ahead of tax time, and talking to us about our accounts receivable factoring service, you can put the wheels into motion for a stress-free tax period.

Accounts Receivable Factoring – Case Study

Oct 01 2016 in Invoice Factoring

Industry:  Recruitment
Location:  Parramatta, Sydney
Annual Turnover:  $2,000,000
Accounts Receivable Factoring Limit:  $300,000

Prestige Recruitment Pty Ltd was a startup corporate recruitment agency servicing candidates and clients nationally. With over 45 years of recruitment experience, the company although new, was experiencing rapid growth.

Prestige Recruitment was looking at accounts receivable factoring to support their growth. They had a growing ledger but weren’t getting paid quick enough to maintain a constant cash flow.

Due to their limited trading history, they weren’t able to secure an overdraft or a business loan from their Bank.  As a result the company was also struggling to pay wages and couldn’t take on additional contracts due to poor cash flow.

Accounts receivable factoring – a flexible business funding solution

BCashflow Positive was able to provide immediate funding to Prestige Recruitment by releasing the cash tied up in their unpaid invoices using accounts receivable factoring. Up to 80% of the invoice face value is made available in as quick as 24 hours, and the remaining 20% is released as soon as their client pays. Here’s how it works.

Benefits of accounts receivable factoring

With the use of our accounts receivable factoring, Prestige Recruitment is able to pay their staff on time and take on more business with the confidence of knowing they have access to immediate cash flow.

BCashflow Positve’s accounts receivable factoring is also flexible requiring no property security or quarterly audits.

Why BCashflow Positive accounts receivable factoring?

Unlike traditional lenders who tend to be restrictive, BCashflow Positive is not reliant on bricks and mortar security. We are more driven to finance business growth through the strength of your debtors. Within 6 months of setting up Prestige Recruitment’s facility, BCashflow Positive was able to increase their limit to support the continued growth.

At BCashflow Positive we pride ourselves on providing flexible accounts receivable factoring solutions to our clients. With a nationwide presence and offices in Sydney, Melbourne and Perth, you will be dealing with our friendly and experienced team. Click here to learn more about us.

Call us on 1300 937 292 to finance growth by converting your invoices into cash.