In operating your business, you must track all kinds of numbers, but few numbers are more important to your success than your credit score and credit history. For instance, getting approved for a bank loan can be difficult if you have been in business a while and have a less than stellar credit score. New businesses may have a more positive credit report, but don’t have a longstanding credit history, which can also hurt their chances for closing a bank loan. In addition if you are able to receive a bank loan, the added debt you’ve incurred can put your credit score at risk if you are unable to make payments on time.

credit score

The good news is that even if you are rejected for a bank loan or you don’t want to risk your credit standing with debt that will be difficult to pay off, you can turn to invoice factoring. Not only can you qualify without a long credit history or an outstanding credit score, you can also work toward improving your credit score as you go. When you work with a factoring company, you will receive money upfront for your accounts receivable without waiting 30, 60, or even 90 days for your customers to pay you. With this infusion of cash, you can pay your bills promptly – or even early, enabling you to take advantage of early payment discounts, an extra bonus of factoring.

Gradually being able to pay all your bills on time will improve your credit score – while lowering your stress level! Your credit history will improve and your credit ranking will go up will build up your creditworthiness. In addition, when you factor your invoices, your customers know that you have the resources to keep your doors open and your staff working. They can be confident that you will deliver the products or services they have ordered and can trust you with additional orders.

If you want to improve your cash flow and your credit score, consider partnering with a factoring company like Interstate Capital. We offer same-day approvals of invoices, professional collection services and free credit consultations. 

Get a free factoring assessment today


SUMMARY

As you know, a poor credit score can SERIOUSLY hurt your company’s chances for success. Your vendors won’t extend you credit, your bank won’t approve your loan, and soon you’re fighting an uphill battle to find working capital.

The good news is that factoring can help improve your credit. You CAN make a difference in that score simply through factoring your invoices – AND you don’t need a strong credit history to qualify!

Imagine getting paid right away – without waiting weeks or months for customers to pay up. A factoring company buys your invoices at a discount and pays you upfront, speeding up your cash flow fast. With this instant cash boost, you can pay your bills on time — or even early! You’ll improve your credit ranking and enjoy any early payment discounts. Plus, your customers will see that your business is in good financial shape and they can trust you with more orders.

If you want to improve your credit score while solving your cash flow problems, consider partnering with Interstate Capital. We offer same-day approvals of invoices, professional collection services and free credit consultations.

Get a free factoring assessment today