Consider invoice factoring with Riviera Finance as a backup source of cash flow.
“Waiting to get paid” is the not-so-new normal in the world of business. In the U.S., companies take an average of 38 days to pay their bills. In some industries, the wait is much longer.
But to the business owner, the waiting isn’t the hardest part. Guessing when the customer will actually pay is the real challenge.
Among the many reasons businesses don’t get paid on time, here are a few:
- customer cash flow issues (yes, customers have them too)
- customer cash flow management (float on your money)
- seasonal workload issues
- customer staff changes
- invoicing errors
- lost or misplaced invoices
- insufficient or inaccurate backup documentation
- vendor preferences
Most likely, none of the above show up in the business plan! Uncertainty of getting paid is one of the most common variables in small business, and a major cause of critical cash flow shortages. But the only real way to avoid the impact of payment delays is to have a backup source of cash available.
Many businesses use non-recourse invoice factoring as a backup cash flow source. It’s easy to get set up, and extremely flexible to the needs of the business. When cash flow is needed, customer invoices can be submitted for payment and funded within 24 hours. No debt is created, and there are no minimum funding obligations. As a backup source, the invoice factoring line puts control back into the hands of the business owner without taking any payment flexibility away from the customer.
Take the stress out of guessing. Set up an invoice factoring account with Riviera Finance today.