4 Online Marketing Predictions for Factoring Business Owners in 2015

A strong online presence is vital to marketing your factoring business in 2015. With ever-increasing competition for shrinking Google real estate, slapping up a website and establishing accounts on Facebook, Twitter and LinkedIn simply won’t cut it anymore. The cash flow industry is competitive and online marketing can prove challenging to any factoring business. Change is the only constant in digital marketing, but here are four predictions that should hold true for online marketing in 2015. 1. Mobile matters more than ever Think about the last time you performed a Google search at home. Did you start up your desktop or pull out a phone or tablet? Even if you did the former, it’s likely a huge chunk of your prospects did the latter. If … [Read more...]

When Factoring Won’t Fit: A Look at Alternative Cash Flow Lenders

OnDeck. Rapid Advance. BlueVine. You can hardly turn on a television or radio or conduct an Internet search for factoring without these and other cash flow lending sites popping up. Alternative lending has become a highly publicized and, dare we say it, popular funding option for businesses to pursue. Great, you say. Why should I care? Over the last two months we covered a variety of situations that make a traditional factoring arrangement difficult, if not impossible, to close. Cash flow lenders can fund those deals that factoring companies are unable or unwilling to touch, adding another arrow to your quiver of resources to benefit your prospects. Alternative lenders can work with nearly any deal, including small medical deals; … [Read more...]

Prospect Yellow Flags: Factoring Deals to Approach with Caution

Last month, we covered a number of red flags for factoring brokers to avoid when working with a prospect. Besides those “back away now” situations, there are other things that can complicate your efforts to find a factoring company to work with the lead. While these are circumstances that may be resolved favorably, it is still worth your time to gather all of the information you can before investing your efforts in placing the deal. If you encounter the following situations, proceed with caution: Bad personal credit (with or without liens) To place a deal where the prospect has poor personal credit, you have to know which of your funders is willing to work with those deals. Tax liens fall into this category as well: because the … [Read more...]

Red Flags of Factoring: When to Walk (or Run) Away From a Deal

“Time is money” is a cliché, but also a reality of the factoring industry. Unfortunately, all too often we waste time – and money – chasing prospects and shopping deals to any number of funders without identifying the fundamental issues that will doom a deal before you make the first pitch. Before you invest in any deal you must ask: will any rational funder make this work? Without delving into funder preferences and gray areas, there are five red flags you should look for in any factoring lead you come across: Medical deals with very low dollar amounts Medical factoring in particular is very time and effort intensive. While some medical factoring companies will at least take a look at very small deals, the majority will determine that … [Read more...]

Factoring Leads: Shifting from Marketing to Sales

Marketing is the key to generate leads, identify future prospects and convince others of the value of working with you. It follows that most articles on marketing focus firmly on getting the most benefit from your marketing methods – should you purchase pay-per-click ads? How should you incorporate social media? Do email blasts really work? However, once your marketing is successful – as measured by a prospect reaching out by phone or contact form – how do you transition from marketing to sales? Sales strategies vary greatly between different companies, between prospects working with the same company, and even at times in working with a single prospect. With that in mind, below are several questions (and a few suggestions) to consider … [Read more...]

“Show Me the Money”: How Do Your Factoring Partners Pay Commissions?

You’ve begun working with a factoring company that handles your leads well. They keep you updated, follow up on a regular basis, and they have successfully closed a deal. Now, you say, it’s time to show me the money…but just how much money will you get? We are not lawyers, and we don’t play them on TV, but we can’t stress enough the importance of thoroughly reading your broker agreement. The agreement should clearly define every question you might have about if, when, and how you are to be paid for your referred leads. Below are just some of the commission questions that you should have answered before you send any leads. Do you get paid for your leads? What are the circumstances under which you get paid? More importantly, are there … [Read more...]

Are Factoring Companies Prepared to Handle Your Leads?

The factoring world is changing – can your funding sources keep up? Your success as a broker hinges on your ability to place prospects with factoring companies that will close the deal. It is critical, then, that you focus you energy on working with funders that are prepared on every level to accept leads from brokers. So, are factoring companies prepared to effectively handle your leads? Below are some important things to consider before sending leads to any factoring company. Have a conversation with each funder before referring deals in which you learn their expectations of you, establish your expectations of them and make sure you are comfortable with their ability to meet your requirements. If their system doesn’t measure up, you … [Read more...]

Factoring Business on the Go: 10 Essential Apps for Factoring Professionals

Savvy factoring professionals understand the shifting landscape of business. Customers use mobile technology to engage with your company at all hours of the day and night, from all over the world. Since these tools are readily available, it’s important to use them to your advantage. Below are ten essential mobile applications for staying connected to the most important parts of your business. Add them to your arsenal to take your factoring company to the next level. Stay in touch with clients and contacts. Communication is the key to building a factoring business and serving your clients, so use these apps to follow up even when your desk is 1,000 miles away. • Salesforce1: Salesforce’s comprehensive app puts your lead and customer … [Read more...]

Tax Time! Five Tax Tips to Benefit Your Factoring Business

No time of year puts quite the same amount of panic into a factoring business owner as tax time. Properly filing and paying your business taxes is one of the most important things you will do all year, and can also be one of the most complicated. With that in mind, we have five tips to keep your tax season running smoothly. Tip #1: Get the right person to prepare your taxes. (Hint: it may not be you.) It can be tempting to save money by filing your business taxes yourself – after all, who knows your factoring business better than you? Before you break out the pens and calculators, though, think about whether you have the time and the tax knowledge necessary to accurately report all of your earnings and deductions. Mistakes can cost you … [Read more...]

5 Business Cash Flow Resolutions for 2014

January offers the first opportunity for businesses to evaluate their performance during the busy holiday season and, for many, to consider and commit to a plan for the coming year. Unfortunately, if cash flow is tight during this critical time then it can set a business up for failure. Whether you believe in making resolutions or are afraid of breaking them, we have five business cash flow resolutions that companies can use to eliminate (or greatly reduce) their cash flow concerns. Resolution #1: Control your outward cash flow Are you overpaying for services or, worse, paying for services you don’t even need? As service contracts come up for renewal, look carefully at your expenses and decide if you are getting the best value for your … [Read more...]