“SMALL BUSINESS FACTORING AND
INVOICE DISCOUNTING
IMPROVES WORKING CAPITAL”

Avoid the small business cash flow dilemma with invoice discounting. Factoring, sometimes called invoice discounting, is a financial solution that allows small
to mid-sized businesses to obtain working capital with the speed and reliability usually reserved for larger corporations. Invoice discounting works for many types
of businesses, especially start-up, high-growth and cyclical companies.
It is uniquely suited for under-capitalized companies with a strong customer base,
or for turnarounds or companies that may be going through problems but see
a strong future. Small business factoring will help you increase working capital, improve your credit rating, increase purchasing power, increase production and sales, and most importantly, drive your growth.

The Benefits of Small Business Factoring

Small business factoring increases your purchasing power. It supports your critical and recurring company expenses like payroll, rent, operating costs and key vendors in a timely manner.

You obtain immediate working capital advances and professional accounts receivable management.

It can quickly provide you with cash.

It creates no new debt for your company.

Small Business Factoring allows you to obtain working capital based on the credit of your customers, not your company, so factoring is a possibility even if your credit is less than perfect.

It can increase your company's productivity and profits.

It allows you to stay focused on your core business rather than taking your time
up with the tedious and difficult details of accounts receivable management. It also can lower your accounting costs with the collections assistance provided by Praxis.

Small business factoring allows you to take advantage of supplier discounts and build your credit. An accelerated cash flow will allow you to either pay your vendors earlier or buy in larger quantities. Often, you can offset the cost of factoring
by taking advantage of discounts offered by your suppliers when you pay earlier
or buy in larger quantities.

Small business factoring allows you to attract more business by offering better terms of sale. Most companies negotiate on price to win business in a competitive market, but with invoice discounting you can negotiate terms instead of price.
To your customers, better terms can be more attractive than better prices. When using attractive terms to win business, you can build the cost of factoring into your costs of goods and services.

Praxis provides flexibility to you and your business. It is a key cash management tool. You can factor as many, or as few, invoices as you wish: it is your decision. There are no long-term obligations, no multi-year binding contracts, and
no minimums or maximums in the amount you must factor. Remember, invoice discounting is based on the strength of your customers.