Factoring Finance is when a business sells its accounts receivable (or invoices) to generate cash flow. Instead of waiting weeks for customer payments, cell tower construction companies can leverage customer invoices to receive payment in as little as 48 hours.
Yes. According to the Commercial Finance Association, receivables factoring transactions in the United States exceed $60 Billion per year.
Following tighter lending and small business loan restrictions, growing companies choose to bypass traditional lending and use factoring finance instead. Factoring finance is extremely flexible as compared to a bank loan, giving your cell tower construction company access to working capital that’s tied up in your accounts receivable.
Absolutely! Any industry, including the telecom industry, that generates invoices can and will use invoice factoring. Generally speaking, if your cell tower construction company pays for labor or materials before receiving customer payment, you can free up working capital by utilizing factoring.
For more than 20 years, TCI Business Capital has been helping telecom companies with their cash flow. If you’d like to learn more about our invoice factoring solutions, contact one of our TCI finance specialists today. Or, call 800-707-4845.