Factors and brokers know that time is everything when it comes to factoring. In order to find and close deals, connecting and following up with a lead quickly is essential. Marketing is an important part of growing any business. That’s why factoring companies often devote a substantial amount of time to marketing, advertising and branding efforts. Social Buzz Social media seems to be the new hot thing when it comes to online marketing—after all, there is a huge audience available, it’s targeted, and it is about as cheap as it gets. Current marketing research from HubSpot shows that social media produces double the leads of trade shows or pay-per-click advertising. Also, companies that generate over 1,000 Facebook likes are also likely to … [Read more...]
Factoring Brokers Unite!
We have all heard the expression that “half of something is better than all of nothing.” Along with that as a “given,” let’s also realize that we all have our strengths and weaknesses. The combination of these two statements leads us to a discussion on how and why factoring brokers can join forces with others. Many financial consultants have contacted us asking about ideas for marketing their factoring businesses. Of course, we provide as much help to our brokers as we can so we go through the entire litany of ideas and strategies. All aspects are discussed and responses generally vary. We’ve heard “No, I don’t like networking events because I’m shy.” Another common response is “I do not do phone cold calls.” Still another one is “I … [Read more...]
Best of How To Start A Factoring Business
Over the past few years I’ve written several articles about starting your own factoring business. Much of the information referred to resources, capital, due diligence and general topics related to the asset based lending industry. To this day I am still amazed over the response we have received on this topic. Today alone I’ve received calls from Europe, Asia and the U.S. about factoring. Since the interest level on this topic has remained so high I felt that it would be a good idea to do a "Best of How To Start A Factoring Business” compiled from previous articles and questions we have received over the last few years. 1. Should I begin as a factoring agent or broker rather than starting a direct funding company? First, understand … [Read more...]
Choosing The Right Factoring Partners
For a factoring broker, selecting the right factoring companies to work with can spell the difference between being successful in the business – and never closing many deals. Yet, most brokers don’t have a well thought out process to choose their factoring partners. Instead, they chose their factors based on the broker compensation package or how well they clicked with their broker representative. While these two criteria are important – they are among the least important criteria to select a factor. Actually, if you select a factor just based on compensation, you could end up losing money. Let me tell you a story. … [Read more...]
How to Optimize and Increase Your Factoring Brokerage Revenues
Most factoring brokers are consummate sales professionals who spend their time talking to small business owners and trying to generate leads. Brokerages come in all varieties. Some brokers focus on a single leads source, such as referrals, and work that source for all their leads. Other brokers run more complex businesses that focus on many sales channels at the same time. An example of the … [Read more...]
Marketing Your Factoring Business? Avoid The Crush
If you are a regular member of a gym or fitness club as they refer to it today, I always find January to be the most interesting month of the year to be a member. At the beginning of every year the place is so crowded that you usually have to wait in line to use the equipment. Then, within a few weeks the crush subsides and the facility is back to normal. I kind of look at business from the same point view. Just like at the gym, this time of year my mailbox is usually full of emails, blogs and pings from contacts wanting to reconnect to see how we can “align our strategies in a mutually beneficial relationship”. Sound familiar? I’m always amazed by the emails I receive from people who do not know what factoring is and what our … [Read more...]
How To Build Your Factoring Business In 2013
My original discussion was gong to be a year end review of the factoring business, but as we all know it is better to look forward than to look back. So let’s approach this from the prospective of setting up your business for next year. What makes a successful sales effort? The most obvious answer is closing lots of transactions. How do we make that happen? What will make 2013 a successful year for your factoring business? … [Read more...]
Factoring Business In The Dog Days of Summer
What? August already? Where did the year go? These dog days of summer are about the time of year when I wonder if I advanced my factoring business. Did I meet my goals? Although many people focus on how much money they made, not all goals are financial related. You might want more free time, streamlined marketing, or just to have more fun. Only you can decide your goals. The important thing to do at this point in the year is realize that it is never too late to accomplish them. No, this isn’t going to turn into some warm fuzzy article about finding your inner self and conquering the day. There is probably someone better suited on television for that. No, I just want to share that it is not too late to make 2012 a great … [Read more...]
A Call to Factoring Brokers – What’s Up?
What makes some factoring brokers successful and others fade away? Get three important steps from Don D'Ambrosio in his Call to Factoring Brokers! In the past I’ve written about the pivotal role a factoring broker can play in the cash flow industry. In my November 2011 piece titled, “A How To Guide For Factoring Brokers”, we received an overwhelming response from interested people from all parts of the globe looking to get involved in the factoring industry. That’s the good news. Unfortunately, I have also found that a large percentage of these “new brokers” had … [Read more...]
Should You Be Marketing For Factoring Business Online?
Wondering if there is an opportunity to find factoring business online? Consider the average number of times per month someone searches these terms online: • Receivable Financing – 12,100 • Invoice Factoring – 14,800 • What is a Factoring Company? - 18,100 • Factor Company – 27,100 … [Read more...]