Buying a First Home
About Me
Buying a First Home

After 10 years of marriage, I’m still enjoying living in the first home I moved into with my husband. Buying a first home can be one of the most exciting events in a person’s life. Before making this important expenditure, people need to first sit down and determine how they will successfully finance it. After all, a home will likely be the most expensive purchase you make in your life. Talk to a loan officer and determine how much money you can reasonably borrow. Then, decide how much money you want to use as a down payment. You also must decide how many years you will finance your home for. On this blog, you will learn about the process of buying a first home with a loan.


Buying a First Home

How To Grow Your Trucking Company Without Taking Out A Loan

Irma Bates

If you own a trucking company and want to grow your business, but your clients are slow paying their bills, you may think that without savings, the only way to have the money for new equipment or offices is by taking out a traditional bank loan. There are, however, other ways of getting the cash you need without going through all the red tape and time-consuming bureaucracy of asking a bank. If you don't know about factoring, you should because it's much faster and easier than a bank loan, and you can use this method repeatedly to get cash quickly. Here's an introduction to the new business practice of factoring and why it may beat a bank loan for your company.

Problems with Conventional Loans

The conventional loan process is fraught with challenges for most small businesses. There are reams of paperwork to be completed, including voluminous amounts of tax documentation. The waiting time can be quite long--up to several months to receive a decision. If you need money for equipment now to secure a big client or take larger jobs, that wait can be frustrating and cost you money.

Additionally, business owners who want a bank loan need to have stellar credit, which can be difficult given the recent recession. Even if you pass the credit check, the terms of the loan may put you in a precarious financial position, with high interest, balloon payments, or collateral you can't afford to lose if forced to default on the loan.

Factoring: A Different Solution

Freight bill factoring is an alternative to bank loans that may give you what you need to improve your business. With this process, a factoring company buys your accounts receivable and gives you the cash equivalent of their value, less a small fee. They are responsible for chasing down the payments from your clients, including people who have been stubborn about paying their bills. There's no waiting for slow clients to pay their bills or for the bank to approve a loan.

Factoring Versus Loans

The paperwork to apply for factoring is minimal compared to a bank loan, and you'll have a decision and your money in just a few days. Because the amount of cash you can get is based on your receivables, you don't have to worry about your credit report. There are no impossible terms to meet; you simply have to deduct the factoring company's fee from the total you are paid for your invoices. You're using work you've already completed and money you are legitimately owed to build your business.

Other Benefits of Factoring

Factoring has a multitude of other benefits that might appeal to you:

  • It frees up you or your office staff to pursue other tasks besides nagging customers for payments.
  • You can use the money however you like with no stipulations.
  • There's no more dealing with non-paying clients.
  • You can sell whatever invoices you want and keep some to handle yourself.
  • You can repeat the process over and over again when you have a new batch of receivables and want quick cash.

If you need capital for improvements to your business, there's no need to wait for a conventional bank loan or for customers to pay outstanding invoices. Talk to a factoring company today, and you may have your money so fast you can start expanding your trucking company by next week.