BETHESDA, MD--(Marketwire - January 19, 2011) - The Interface Financial Group (IFG) responds to the most recent reports concerning small businesses in the United States. Amidst continuing economic uncertainty, the most recent Small Business Employment Index report from Intuit, Inc. stated that small business employment continued to show growth in December 2010, a positive sign for the New Year.
Another report released on January 17, 2011, stated that 46 percent of the Gen Y generation expressed a strong interest in starting their own businesses in the next five years. This latest poll affirms that the 18-to-25-year-old Gen Y demographic represents an entrepreneurial market segment. Eight percent reported that they already have started a new business. Source: Poll commissioned by EMPLOYERS®, America's small business insurance specialist®.
"Most entrepreneurs with a new business today know that cash flow is very important because it takes additional working capital to finance the growth. Due to the current world economy, and challenges that small businesses face when trying to get a loan, one effective strategy that many business owners are using is invoice factoring," said George Shapiro, chief executive officer, The Interface Financial Group. "Factoring is a solution that can turn most any business into a cash business without it having an impact on customers."
Once a small business has delivered its product or service, there is a significant cash investment in that transaction. This investment comes in many different forms such as inventory, labor costs, packaging, marketing, etc. However in today's slow economy most customers are pushing the credit terms and stretching out 'net 30' to as much as 'net 90.'
This is why factoring could be the answer for future entrepreneurs. Typically factors provide funds of up to 90 percent against the value of your receivables. The main benefits of accounts receivable factoring include:
- The provision of finance for growth.
- The ability to take funding from the factor at an agreed upon initial payment percentage.
- Improved cash flow by releasing working capital to a business.
Factoring companies review the quality and spread of the debtors before making an offer, and they will also look at any bad debt record, such as the ageing of the sales ledger and the overall collection performance.
IFG's private label factoring solutions include Export Factoring, providing factoring services for companies who export from the United States and Canada; P.O. Funding to finance purchase orders when a company receives a purchase order and needs to purchase supplies to fulfill the order; and Inventory Financing, a solution promoting a company's growth by funding them when they must expand and purchase inventory.
IFG does not expect to buy 100 percent of a company's receivables, and there are no minimum or maximum sales volume requirements. In addition, the company's professional rates are competitive because each client's circumstances vary, which may have an impact on the fees charged. The program allows choices of invoices to be factored, enabling customers to retain most of their money, to guarantee adequate cash flow while spending the minimum fees.
About The Interface Financial Group (www.ifgnetwork.com)
The Interface Financial Group (IFG) is North America's largest alternative funding source for small business, providing short-term financial resources including invoice factoring (invoice discounting). The company serves clients in more than 30 industries in the United States, Canada, the United Kingdom, Australia and New Zealand, and Singapore, offering cross-border transaction facilities between the U.S. and Canada. With more than 140 offices across North America and over 35 years of experience, IFG provides innovative invoice factoring solutions by offering short-term working capital to growing businesses. Single invoice factoring, or spot factoring, is an extremely fast way to turn receivables into cash.
IFG was founded in 1972 to provide short-term working capital to help small to medium-sized businesses grow. The IFG organization operates on a local level, providing clients with local knowledge and experience and business expertise in numerous diverse areas in addition to accounts receivable factoring, including accounting, finance, law, marketing and banking.
Contact Information:
Kristin Gabriel
MarCom New Media
T: 323.650.2838
E:
Headquarters:
The Interface Financial Group
7910 Woodmont Avenue, Suite 1430
Bethesda, MD 20154
T: Toll Free: USA -- 877.210.9748
T: Toll Free: Canada -- 877.340.6893