Working Capital Financing

As a small business owner, you know that working capital is the lifeblood of your business. It is what keeps your business running and what finances your everyday operations. You keep close track of when you need to pay your vendors and employees, and when you can expect to clear up accounts receivable. Managing your business operating liquidity is critical to your company’s success.

But beyond just managing your daily operating liquidity, working capital can also be a source of growth. There usually are numerous opportunities in the market, and your ability to tap working capital loans quickly is critical in taking advantage of the opportunities.

Take discounts on large volume purchases from vendors: often times vendors extend a limited-time only price discount on bulk purchases. Or, some vendors will accept a lower payment on your outstanding balance just to clear up their own receivables account. Beyond the dollar amount that you save from these discounts, by being a large volume purchaser, your business is more likely to land a spot on the preferred customer list—vendors like dealing with big buyers.

Other opportunities that require increase in working capital could come from expanding your product offerings. You likely need to add to your staff, step up marketing efforts, and purchase goods/inventory ahead of sales; all of which are payments you would need to make before collecting on your new sales.

There are several working capital financing options. A working capital loan from traditional banks often require collateral (your accounts receivable or other business equipment/assets), UCC-1 filings, at least 2 years’ worth of financial statements, a business plan, high credit score, and weeks to complete an application. Further, terms of traditional loans are often in years; if your working capital needs are only 6 to 18 months, it may make more sense to match the duration of the liability to a shorter term loan.

Our XPRS Working Capital Financing has flexible terms with manageable daily payments so you can control your business cash flow. Our application process is simple and fast, and we focus more on the cash flow of your business and less on traditional bank metrics that just takes up processing time with no real information about your business. Our working capital financing offers competitive rates and terms that are tailored specific to your business needs.

If you are ready to move forward and join the many businesses that have grown with us, click here.