Invoice Factoring Blog

Link: http://www.ifgnetwork.com

Link: http://www.ifgnetwork.com

According to the U.S. Bureau of Labor Statistics in May of 2010 the Consumer Price Index (CPI) for all urban consumers declined 0.2 percent on a seasonally adjusted basis. The CPI is a measure that estimates the average price of consumer goods and services purchased by households. CPIs are based on prices of food, clothing, shelter, fuels, transportation fares, ass well as doctors’ and dentists’ services, drugs, and other goods and services that people purchase. Prices are collected each month in 87 urban areas across the country from about 4,000 housing units and approximately 25,000 service establishments.

The index increased 2.0 percent over the last 12 months - before seasonal adjustment. For the second month in a row a decline in the energy index accounted for the seasonally adjusted decrease in the all items index. The index for energy decreased 2.9 percent in May and more than offset a slight increase in the index for all items less food and energy. The food index was unchanged. Although all the major energy indexes declined, the gasoline index accounted for most of the decrease.

The index for all items less food and energy increased 0.1 percent in May. This meant posting a monthly increase for only the second time this year. Increases in a number of indexes including shelter, used cars and trucks, tobacco, apparel, and medical care contributed to the May rise. Overall, the CPI has increased 0.9 percent over the last 12 months.

The economy is still suffering and many small to medium-sized businesses simply cannot keep up with the cost of doing business. Factoring during challenging times like these can help pay the bills. Most factoring companies like IFG will pay within 24 to 48 hours.

Link: http://www.ifgnetwork.com

Link: http://www.ifgnetwork.com

This next Friday the Labor Department is scheduled to release its job data for June. The numbers aren’t expected to be good, even with predicted gain of about 110,000 private sector jobs. Thousands of workers have been laid off, so analysts are predicting the unemployment rate will jump to 9.8 percent. The consumer confidence index hit its lowest level since March, falling to 52.9 in June from 62.7 in May. (Source: The Conference Board)  When consumers are frightened, they don’t spend money and that means businesses have no incentive to produce, can’t hire, and the story goes round and round. Historically analysts say confidence has double-dipped in the last two recoveries without the economy falling back into recession. The current June pullback in confidence is far less severe than what happened in 1992 and in 2003.

It’s times like these when savvy business owners pull out all stops and begin using tried and true tactics like accounts receivable factoring. is One of the oldest and most widely used forms of funding for businesses, standard invoice factoring has been around for about 4,000 years, but now there are a number of innovative new factoring solutions especially for small businesses who find it difficult to attract conventional funding.

In order to sustain and grow businesses need some cash on hand. And when outstanding invoices stack up, single invoice factoring, also known as spot factoring, is one tactic that many companies have discovered can help them get by.

Link: http://www.ifgnetwork.com

According to a Discover Financial Services (DFS) report that was published today small business owners' economic confidence slid this People are very concerned  over temporary cash flow issues these days.   The survey polls 750 small business owners, and this month the index dipped to 86.1 percent in June from 87.4 percent in May after a two month rise.  There was a some improvement in the way small business owners see the climate for their own businesses.

Even as last month business owners increased their spending, payroll, mounting bills and operating costs are causing many business owners stress, indicating that cash flow is still an issue.  This is good news for factoring companies like The Interface Financial Group who is handling accounts receivable factoring for small to medium-sized businesses. 

In June, 29 percent of small business owners said they believe the overall economy is getting better, falling from 35 percent in May.  51 percent said the economy is getting worse, steady from the previous month, and 16 percent see the economy as the same, which is up from 12 percent for May.

As for negative impacts on their businesses, Discover reports that a majority of small business owners attributed it to the stock market  and the Gulf Coast oil spill. 30 percent of business owners polled said the oil spill was having a negative effect, while 40 percent believed there was negative impact from the debt crisis in Europe.

These kinds of reports show that in these times of troubles,  cash flow is critical to saying in business and growing.  Factoring is a tool that many businesses have used throughout the years to manage cash better, and grow.  It provides quick turn-around, and

The Interface Financial Group provides innovation solutions by offering short-term working capital to growing businesses. Many businesses do not get paid right away for delivered products/services, and every business needs some cash on hand in order to sustain and grow. So what happens if you do not get paid for a few months, and you do not have time to seek alternative financing through banks or venture capitalists? Spot Factoring is the answer to your troubles. Factoring is an extremely fast way to turn your receivables into cash. In an ordinary scenario you might have to wait 30, 60, or sometimes even 90 days for invoices to be paid; IFG looks at your customers' credit (not yours) and can pay you the majority of what's owed to you within as little as 24 hours.