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Invoice Factoring B2B For Utility Companies

Any business needs its customers to pay on time. Utility companies are no different.

Utility contractors and subcontractors require intensive capital many times upfront for equipment, crews, materials, repairs, compliance, safety, and other operating expenses.  Bank loans are a financing option, but are often challenging to qualify for.

  • They may limit your line of credit
  • They take a long time to qualify for
  • They require an extensive amount of paperwork

Great Funds Factoring offers Business to Business utility invoice factoring for contractors and subcontractors as an alternative form of financing for the utility industry. Invoice factoring is not a loan, and oftentimes cash is available the same day, depending on processing times.

Great Funds Factoring will purchase your unpaid invoices at a slight discount and give you cash upfront so you can focus on putting your money back into your utility company. 

Start your Credit Application today or fill our our contact form and speak to a factoring specialist to learn more about how we help businesses grow.

What is Invoice Factoring B2B for Utilities?

Invoice factoring is an alternative financing method that allows your business to improve cash flow without waiting 90 days for customers to pay. Sometimes referred to as accounts receivable factoring, Great Funds Factoring will purchase your invoices at a  discount in exchange for immediate funding so your business can meet its immediate financial obligations. 

Unlike a loan, with invoice factoring, you won’t pay any interest on the cash we give you. Instead, we purchase your invoices for a fee and transfer a negotiated portion of those funds directly into your bank while holding a negotiated minor reserve, which we send to you after your customers pay.

We then work with your customer to collect the total invoice amount, Returning the reserve amount in full unless there is a deduction from your customer minus our fee.

How Invoice Factoring Helps Your Utilities Company Grow

Your utility company has expenses it needs to keep up with and unexpected costs. When you have completed a job, you deserve to be paid for your work, and waiting 30 to 90 days doesn’t leave you any room to grow your business. 

Great Funds Factoring will help your utility company get the cash flow it needs now, not later.

1. Discovery

At Great Funds Factoring, we understand that there are many financial challenges that even the most successful businesses can go through and the stress that they can cause.  We believe that good communication is key to developing a strong working relationship with our clients and will strive to be personally available to answer questions about receivable factoring. 

During the discovery process, we aim to understand your business’s needs, gain your trust, and determine if accounts receivable factoring fits your business.

2. Underwriting

After you submit your credit application, Great Funds Factoring, LLC will review it along with other documents required such as bank statements, master customer list, and financial statements. 

3. Approval

Great Funds Factoring works on the approval process when due diligence is completed.  Usually, the entire process of both underwriting and approval review takes one to two business days.  

Once approved, we will send you the proposal and all documents needed to set up your account.

4. Fast Cash

As you send invoices to your customers, we verify them and advance your funds immediately to your account while holding a small amount in reserve until your customer pays their invoice.

Recourse Vs. Non-Recourse Invoice Factoring Services

By providing recourse factoring, Great Funds Factoring is able to keep our fees low. After purchasing your invoices, we will do everything possible to collect your customer’s open invoices. 

Your utility company will be responsible for the uncollected funds if they cannot pay.

With non-recourse funding, your company would not assume the risk of unpaid invoices. However, this type of factoring puts more financial risk on the factoring company, leading to higher fees and the need for higher creditworthiness.

Types of Utility Service Companies Invoice Factoring Can Help

You need more than just quick cash flow; you also need a factoring company that understands the industry of your business. At Great Funds Factoring, we have experience working with all kinds of utility companies, including:

Let Great Funds Factoring help you get the money you have earned. Fill out an online credit application today to get the cash flow you need to expand your business.

Let us help move your business forward

Great Funds Factoring LLC

Improve Cash Flow For Your Utilities Company By Filling Out Your Credit Application

By using our factoring service you can access immediate cash to pay suppliers or focus on gaining more clients and expanding your business more quickly than you ever imagined.

Contact us today to see what rewards you can gain from a successful business relationship with Great Funds Factoring, LLC!