Get More Working Capital for Your Business

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How to Get More Working Capital for Your Small BusinessA shortage of working capital can be a serious problem for a business. To a great extent, your cash flow determines your ability to grow. Bank loans can help in this regard but many smaller businesses have difficulty securing a line of credit large enough to fund substantial growth. One solution to this problem is invoice factoring, a creative financing option that lets you receive cash immediately for invoices. Let’s look at some of the advantages of invoice factoring and how it can enhance cash flow and spur growth for your business.

Getting Cash When You Need It

Invoice factoring helps to solve an ongoing challenge faced by many businesses. Typically, you have to wait weeks or even months for customers to pay invoices. This waiting period limits your cash flow. With invoice factoring, you’re able to receive payment on invoices immediately. The factoring company then collects payments from your customers.

Invoice factoring provides you with additional working capital that you can use for any purpose, such as buying more inventory, hiring additional employees, marketing your business or investing in new equipment. The requirements for invoice factoring are less stringent than for traditional loans.

If you have an existing loan outstanding, and have already pledged your business assets as collateral, a factoring company might still be able to supplement your cash flow through a process known as subordination.

Bank Subordination

When a factoring company enters into a subordination agreement with your bank, where the bank subordinates its collateral position on receivables, the factor takes on the role of an additional creditor. This allows you to leverage accounts receivable and purchase orders and obtain cash when you need it. Companies that aren’t eligible for loans or that could only access a small line of credit on their own can often obtain more substantial loans through invoice factoring and subordination.

In order to obtain conventional bank loans, you need a strong credit history. You may also have to provide outside collateral. Newer or smaller businesses often have difficulty meeting these standards. This can create a vicious cycle where you can’t grow because you don’t have enough capital and you can’t get the capital you need because you’re too small. Subordination provides a way out of this dilemma.

Once your bank agrees to subordinate receivables to the factoring company, you can use your accounts receivable as assets, giving you access to a greater line of credit than you’d otherwise be able to get. In any case, invoice factoring is a viable way for many businesses to get financing even when their banks turn them down for any type of loan.

Riviera Finance Helps You Grow Your Business

Riviera Finance is one of the leading invoice factoring companies in North America, with more than 20 locations in the United States and Canada. Riviera has more than 1,400 clients and has been providing financial services to businesses since 1969. Riviera Finance can help you obtain the working capital you need with invoice factoring and other customized financial solutions for businesses. See how you can get started now

How to Manage Your Business Finances

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How to Manage Your Business Finances in 5 StepsIf you’re seeking long-term success and growth for your business, it’s essential to learn how to manage your business finances. If you don’t have a precise understanding of how money is flowing in and out of your business, it’s difficult to measure your progress and plan for the future. Here are some tips to help you manage finances.

5 Steps to Managing Your Business Finances

Choose the Type of Accounting That’s Best For Your Business

There are two basic methods to track the flow of money in and out of your business. The simpler method is cash basis, which is used by individuals and smaller businesses. With this method, you record transactions after they occur. For example, if you’re buying a new computer for your business you’d record this transaction after the purchase. Similarly, you record revenue after you make sales.

The other method is accrual accounting and is used by many larger companies but also some small businesses. In this case, you record transactions as soon as sales or purchasing decisions are made, even if money hasn’t yet been received or paid. This method is more complicated but gives you more information about the future. It can also give you tax advantages. If you decide to use the accrual method, it’s helpful to follow GAAP or generally accepted accounting principles, which are rules and standards commonly followed that make calculations and taxes easier.

Use a Balance Sheet

The balance sheet is a basic business tool that’s been around for as long as people have been doing business. Even in the digital age, your balance sheet is a basic tool to manage finances. You always want to be aware of exactly how much money is flowing in and flowing out of your business. Of course, today you don’t need to use a pen and paper to track your expenses as there are many automated tools to help you do this more efficiently.

Analyze Your Business Expenses and Decisions

It’s not enough to simply track your income and expenses. You always have to analyze your finances and look for areas that need improving. This is called a CBA or cost-benefit analysis. Do this for both existing and prospective expenses. You should do a CBA before buying new equipment, hiring employees or paying for an ad campaign.

Consider Getting Help

Handling all of your accounting needs yourself gets more difficult as your business grows. Hiring a qualified bookkeeper or CPA can help you save time and also ensure that your finances are properly managed. Accounting professionals will help you manage areas such as payroll, taxes, accounts payable and receivable.

Manage Cash Flow and Business Credit

Business credit is helpful for maintaining good relationships with suppliers and getting loans. Opening a line of credit and managing it responsibly is one step to establish good business credit. It’s important to understand the state of your business credit.

These are some of the guidelines that help you manage business finances. The more closely you manage your cash flow, the easier it is to make wise decisions that help you build your business. Another way to help you manage finances and cash flow is invoice factoring, a process that lets you collect payment on invoices immediately. This is something that you may be eligible for even if your business is new or you’re not able to obtain a business loan.

Find out how Riviera Finance can help you with invoice factoring. Get Started now!

Top 3 Small Business Trends For 2018

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Small Business Trends in 2018As 2018 is starting, it’s a good time to start planning your marketing strategy for the year. There are some major developments that you need to be aware if you want to grow your business. Let’s explore the three leading 2018 small business trends.

Top 3 Small Business Trends in 2018

Think Mobile First

When considering small business trends, we can’t overlook the continuing rapid growth of mobile. It’s no longer enough to be merely mobile-friendly. Mobile devices are getting increasingly popular and more and more customers are shopping via mobile. If you sell products online, you have to make it easy for people to access your website and make purchases from mobile phones. Even if you have a brick and mortar business, many of your customers will look up your website using a mobile device to find out about your products, hours and location. Small businesses must prioritize mobile customers when they build their websites and post content online.

More Personal Customer Service

In an age when we hear so much about AI, machine learning and automation it may seem counterintuitive to think that one of the biggest small business trends is more personal service. However, as automated tools are used more frequently, they create a certain backlash. Even as customers appreciate the convenience of chatbots and automated services, they also want to feel like they’re dealing with actual human beings. Businesses that provide personalized service, whether in person, on the phone or online will have an advantage. This doesn’t mean you have to handle everything on a person-to-person basis. Use automated tools when necessary but reach out in a personal way for important interactions. A short phone call or personal email goes a long way towards building strong relationships with customers. The best way to run your small business in 2018 is to find the right balance between high tech and personal service.

Outsourcing

Small businesses always need to find ways to cut costs and improve efficiency. With the growth of cloud computing and freelancing, it’s now easier than ever to outsource many tasks. You can now communicate with contractors anywhere in the world using platforms such as Skype and video conferencing software. Documents can be stored and shared on cloud platforms such as Dropbox or Google Drive. It’s often more economical to hire contractors on a per-project basis rather than full-time employees. Depending on your needs, you might hire freelancers for web design, SEO, content writing, PR, customer support or other tasks. Outsourcing and taking advantage of cloud-based services help make your business leaner and more efficient.

These are a few of the major 2018 small business trends that you should pay close attention to. While none of them are brand new, they’re all on the upswing and will only get bigger in the next few years.

Another issue that has a huge impact on your business growth is cash flow. If you want to grow your small business in 2018, consider invoice factoring, a process that allows you to receive immediate cash for your invoices.

Riviera Finance has helped companies improve cash flow with invoice factoring for nearly 50 years. Get Started today!

Top Blogs of 2017

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Top 5 Small Business Blogs of 2017 | Riviera Finance2017 has been a great year for Riviera Finance. We’re dedicated to helping our customers not only with cash flow solutions, but also with general business tips and best practices.

We’ve shared 50+ blogs in 2017. So, without further ado, let’s look at the most popular blogs this year:

Like us on social media and come back in 2018 for more tips and ways to improve your cash flow and grow your small business.

If you’re looking for a partner to help with cash flow management, find out how our invoice financing solutions can help your business grow.

10 Ways to Increase Online Sales

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How to Increase Online Sales in Your BusinessIt’s not difficult to set up a website and display your products or services. Attracting customers, however, isn’t usually quite as simple. If you want to increase sales on your website you need to follow certain guidelines. Let’s look at some popular tips to help you improve online sales.

10 Tips to Improve Online Sales

  1. Create a Strategy

Many businesses set up a website without having a clear idea of what they want to accomplish. Identify your goals, which may include increasing brand awareness, building a mailing list or selling products directly from your website. Set goals for your online marketing and map out a way to achieve them.

  1. Create Distinct Landing Pages

Unless you only sell a single product, it’s best to create separate landing pages for different purposes. This ensures that prospects land on the page that’s most relevant to their interests. Unique landing pages are also good for SEO as you can give each page a distinctive URL.

  1. Retarget Customers

Retargeting is a powerful way to get repeat business from existing customers. After someone buys one of your products, be sure to send them follow up messages on upgrades, peripherals and related items.

  1. Build an Email List

Regardless of what you’re selling, an email list is an efficient tool for staying in touch with your customers. Make sure you have a highly visible opt-in form on your website to join your list. Offering users a free gift for subscribing is a good way to get them to sign up.

  1. Use Paid Advertising to Get Traffic

Paid advertising on platforms such as Google, Bing and Facebook provide you with a fast way to get targeted traffic and increase sales. Learn which keywords your customers are searching for and try different types of advertising.

  1. Stay Engaged with Your Customers

It’s important to communicate consistently with your audience. Whether you communicate via your blog, social media pages or email list make sure you send out targeted messages on a regular basis. This ensures that your brand stays fresh in people’s minds.

  1. Make Your Marketing Unique

It’s important to build a unique brand and not make your marketing too generic. Identify your target audience and find out what your customers want and need. It helps to create buyer personas for all your products. Look for ways to differentiate yourself from the competition.

  1. Create Special Promotions

Look for ways to entice people into trying your products. Coupons, contests, rewards programs and other promotions all help you attract attention and increase online sales. When you release new products offer early bird discounts. Offer existing customers a discount on new products or upgrades.

  1. Track Your Results

When you track your results, you can continually refine your approach. For example, when you create ads always test different headlines and keywords. See how people respond to different words and images in your emails and on your website and social media pages. Use Google Analytics and Facebook Page Insights and other analytics tools to keep track of all your results.

  1. Improve Cash Flow with Invoice Factoring

Many marketing tactics to increase sales such as advertising, website design and various services require a cash investment. If cash flow is a challenge for your business, one solution is invoice factoring, a process where you get paid for invoices right away.

Riviera Finance is an industry leader in providing invoice factoring and other financial services to businesses. Sign up now and you can get cash in as little as 24 hours.