Riviera Finance Clients Recognize the Value of Non-Recourse Factoring

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In August, eight clients directly benefited from Riviera Finance’s non-recourse factoring program when Riviera Finance submitted just over $101,000.00 for write-off. The non-recourse benefits extended to a trucking client in Southern California where Riviera Finance absorbed a $48,000.00 credit risk. In Dallas, where Riviera Finance absorbed a $26,400.00 credit risk for another trucking client, and in Chicago where Riviera Finance absorbed a $9,000.00 credit risk for a staffing agency.

Often times the value of non-recourse factoring is under estimated, but for many small businesses a write-off is difficult to absorb and may even force a company out of business.

It makes one wonder why there is not a greater emphasis placed on the value of non-recourse factoring, because when a write-off hits it hurts?

Riviera Finance has been providing the benefits of non-recourse factoring to their clients for over 40 years by assuming the credit risk on their customer, the account debtor.

Riviera Finance Provides Solution to Slow-Payment Trend

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Some recent trends from the front lines of small business:
  • 64% of larger companies are paying their bills in 60+ days (Wall Street Journal)
  • Bill-paying is done at an average of 7.6 days overdue, up 14.1% over last year (Experian study)

Here at Riviera Finance, we’re countering the trend, receiving payment from our debtors in only 31 days, one day faster than last year.

The message is clear: the need for immediate working capital is stronger than ever, and Riviera Finance’s factoring services are delivering positive results.

The Problem. The recession ushered in a policy shift among many large companies to slow their payment speed to their smaller creditors. This tactic has not abated despite the overall improvement of the economy. Larger companies learned that it’s effective to stretch payment on invoices to 60 or 90 days or more, and their small-company associates simply capitulate because they lack the resources to fight.

A study conducted by the credit bureau Experian found: “…businesses earlier this spring were paying bills an average of 7.6 days past due, a 14.1% increase from the same period last year. The biggest companies in the study–those with more than 1,000 employees–had the sharpest year-over-year increase in late-payment days, up nearly 28%…”

The Solution. While small businesses may lack the resources to fight this trend, there are things they can do to thrive despite the challenge. One often untapped resource for small business is invoice factoring. Instead of waiting a growing period of 40 or 50 days or more get paid, by selling its invoices to Riviera Finance, a small business can access cash immediately. Factoring provides this quick cash without creating debt (it isn’t a loan), and without the long and often futile process of applying with a bank. In fact, even business owners whose personal credit is less than sterling very often qualify.

Rivera Finance offers nonrecourse factoring, which provides a credit guarantee, meaning that our customers retain the cash advanced to them, even if Riviera Finance doesn’t collect from its debtors. This helps our clients eliminate bad debt, and by tapping into our experience and credit database, they can choose their future customers more carefully and weed out the high-risk opportunities.

Riviera’s credit services are so effective at eliminating high-risk companies from the equation, and our collection processes are so streamlined, that we buck the slow-payment trend reported by The Wall Street Journal. Our debtors pay us in about the same amount of time as they have in years past.

For the full Wall Street Journal article, click here: http://online.wsj.com/article/SB10001424052702303296604577450561434496668.html

Riviera Finance Welcomes 170 New Clients During the First Quarter

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Riviera Finance is excited to welcome 170 new clients during the first quarter of 2012. Whether you have chosen Riviera Finance because we offer non-recourse factoring, provide the highest advance rates in the industry, offer the most competitive rates, or came highly referred, we aim to provide you with the best customer service in the industry. Riviera Finance has been dedicated to factoring small businesses over the past 42 years and we understand your cash flow needs.

Here is a sampling of the new companies funded during the first quarter of 2012.

A $50,000.00 account limit on a trucking company in Manitoba, Canada.

A $300,000.00 account limit on a Modular Building Repair company in Louisiana.

A $500,000.00 account limit on an environmental testing company in Virginia.

A $250,000.00 account limit on a software developer in Ohio.

A $250,000.00 account limit on a metal fabricator in North Dakota.

A $75,000.00 account limit on a trucking company in Maine.

A $1,000,000.00 account limit on a tank truck carrier in British Columbia.

A $200,000.00 account limit on a concrete product manufacturer in Illinois.

A $100,000.00 account limit on a strategic development company in Colorado.

A $300,000.00 account limit on a clothing designer in California.

Surging Freight Volume Creates Demand for Freight Bill Factoring

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Truck freight volumes rose 10.5% in December, the highest yr./yr. growth in 13 years, according to the American Trucking Associations’ tonnage index. In the small-to-medium-sized carrier sector, such spikes create a serious strain on working capital, as most expenses are paid in cash while loads are billed on credit.

freight-bill-factoring

Many carriers use factoring to provide the increased working capital necessary to ride these growth surges. Riviera Finance offers the full package of finance, credit services and receivables management to allow the carrier to focus on hauling loads and growing the business.

According to the ATA, all indicators were favorable for the trucking industry in December and are likely to continue through February. Low inventories coupled with a strengthening economy and higher manufacturing outputs all contributed to the healthy numbers. See the ATA website here for more information about the December growth in freight volumes.

 

Riviera Finance Expands to Hoboken

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Riviera Finance is pleased to announce the opening of our new office in Hoboken, New Jersey. The office is located at:

50 Harrison St., Suite #214E
Hoboken, NJ 07030
201-876-4858
201-876-4869 (fax)

With its proximity to Manhattan, our new Hoboken office gives us an expanded local presence in one of the country’s most vital small business markets.

Joining Riviera to open our Hoboken office is Tal Malachovsky, Business Development Manager. Tal enters the Riviera ranks with a long and successful career in the small business finance sector in tow. Tal’s history working with local small businesses in the New York/New Jersey area and his experience as an entrepreneur himself creates a bright future for Tal, Riviera, and the many local businesses seeking the capital for future growth and success.

Help us welcome Tal and celebrate the opening of our Hoboken office. You can contact Tal at the number above, or visit the office’s Web page here: Riviera Hoboken