Aircraft Gear & Service Equipment Factoring Options
The aviation business is not for the faint of heart. Aircraft Gear and Service Equipment are not cheap nor are they easy to maintain. The financial needs of a service industry such as aviation range from purchase of new aircraft, turbo prop, pre-owned corporate jets that have medium to large cabins, helicopters and an existing aircraft�s need for a sale-leaseback completion.
How Factoring for the Aviation Business Works Factoring for aircraft equipment and parts companies works like this:
- � Your business provides creditworthy customers with a service or product for which you issue them an invoice.
- � A copy of this invoice is sent to a factoring company as a receivable account.
- � The factoring company pays your business immediately between 70% and 90% of the amount received.
- � Your business� customer pays the factoring company directly according to the invoice terms and conditions.
- � The factoring company then returns the paid invoice�s balance to your business minus a certain fee.
Your Aircraft Gear & Service Equipment business may become unstable financially or even undercapitalized due to growth and fluctuations associated with uneven generation of sales. When this happens, your business may have the tendency to default on payroll requirements and suppliers and even on daily operational expenses. The cash flow that should cover these things is not available because it is all tied up in your business� accounts receivable.
When your business participates in factoring, you get several benefits which you may not obtain otherwise from lenders, banks or other financial institutions that are asset-based:
- � There is no burden on your part to make payments monthly in order to pay off a loan.
- � Reduce the costs which accompany collection procedures.
- � Control your business cash flow by knowing when to issue invoices and how many of these to sell at any given point in time.
- � Enables your business to meet payroll concerns and payroll taxes.
- � Allows you access to avail of ready funds for your business expansion and to market your business service or product in the soonest possible time.
- � Helps your business increase its production and sales revenue.
- � Handle slow-paying customers effectively.
- � Provides case discounts on your materials.
- � Gives you the option to increase purchase by buying in bulk discount or receiving discounts for early payments that are made.
- � Improves your business financial statement.
- � Enables you to improve your business credit rating since you are able to consistently pay your bills in full and on time.
- � You maintain control over your business and focus on production for revenue generation because you don�t have worries about cash flow.
Choosing the Right Factoring Company
If you�re in the business of Aircraft Gear & Service Equipment, choosing the right factoring company should be priority on your to-do list. The best factoring company is one that can provide your business cash acquisition promptly for your accounts receivable like NeeBo Capital.
With NeeBo Capital, you need not worry about adding more collateral other than your receivable accounts since your credit line grows in direct proportion with your company�s sales cycle. Visit our website at www.neebocapital.com to learn more of how factoring can help your business.
Don�t wait while your competitors factor their accounts receivable. Take advantage of low factoring rates in the Aircraft Gear & Service Equipment industry Today!
Why Choose Us?
Rates at 0.59% - 1.5% for 30 days
Quick Link to Financial Resources:
| Purchase Order Financing | Accounts Receivable Financing | Asset Based Lending Options |
General Articles about Accounts Receivable Financing and Factoring:
» 08/01/2012 Debt Financing or Off Balance Sheet Financing?
» 11/30/2012 Utilizing Factoring as a Alternative to Traditional bank Credit
» 07/22/2012 Increase Your Business Lines Of Credit By Factoring Accounts Receivables
» 09/15/2011 What to know when selecting a Factoring Company
