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GOVERNMENT FACTORING COMPANIES
The Best Factoring Companies for Government Contracts
Your small business was granted a government contract, you’re thrilled, and you can’t wait to get started. The only problem is that the expenses to complete the job run high, and long payment schedules are putting your company in a bind. That’s where we step in. Accounts receivable factoring for government contracts can get business owners the funds needed to take on contracts, pay bills, and grow all at the same time. Whether your business provides services to local, state, or federal government bodies, you can factor invoices for immediate cash.
It’s no secret that the government is slow to pay. While the jobs are lucrative, many businesses can’t afford to wait extend periods of time to cash out on their invoices. So, why wait, then? Factoring government receivables is the best way for small businesses like yours to get the fast funds to make payroll and undertake new projects.
We partner with many factoring companies that are accustomed to the payment terms of government contracts. We will partner you with the best of our government contract factoring companies in your industry so you can get the funding you need to take on new projects. We take the work off of your hands so you can get back to what is important.
What Types of Government Contractors Do We Work With?
From start-ups bidding on their first project to long-established firms, your business can count on us for funding. We understand the complexities involved in working with local, state and federal agencies. We’ll help you secure the capital to weather seasonal slowdowns and periods of fast growth. Here’s a sample of some of the government contractors we work with:
Benefits of Factoring Government Invoices
Whether you have a staffing, technology, engineering or other type of government contract, we can get you the funding you need. When working on a government contract, it’s tough to cover upfront costs. The demand for supplies, payroll and other overhead expenses can be significant—so make sure that you can cash out on your invoices right away. Invoice factoring provides the steady cash flow you need for any contract. When you factor, you can expect:
- Financial support for ongoing and new projects
- The ability to offer extended payment terms
- Capital to cover overhead expenses
- Invest in growth opportunities
- Funds to hire more employees
- Steady capital to bid on larger contracts
- No long term contracts
- Peace of mind that comes with a stable source of cash flow
Free Quote
Factoring Government Receivables
Factoring government receivables involves selling your outstanding invoices to a factoring company to get an advance within 24 hours. The factoring company typically advances 80% – 90% of the invoice. The remaining amount is held in a reserve account until the government pays the invoice. Once payment is received, the factor releases the rest back to your contracting business, minus a small fee for the service.
Approval
Submit your application to the factoring company and get approved within 3-5 days. Once approved, send your invoices to the factor.
Get Paid
Once the factoring company receives your invoices, they will advance you up to 80%-90% within 24-hours. The remaining percentage will be held in a reserve.
Release
Invoices will be paid directly to the factoring company by the government agency. Once the payment has been received, your reserve will be released minus a factoring fee.
Repeat
Repeat steps 2-4 as frequently as you need. Submit government invoices and receive cash in 24 hours.
Government Contract Funding FAQs
Have more questions? Check out our general invoice factoring FAQ page
Q: What if my business has poor credit? What if I’m just starting up?
A: No worries. Government factoring companies look into the credit history of your customers, not your history.
Q. What can my business use the funding for?
A: Any business expense you need. Whether it be payroll, supplies, or technology, government contract factoring companies will provide you with the funds to cover any costs.
Q: What types of government contracts are eligible for factoring?
A: If you have government receivables, we’ll help you start factoring. Factoring works for any project: staffing, IT services, educational services, construction and many others.
Having the opportunity to fulfill a government contract can be great for your business, especially if you’re a smaller company or just starting up. While it can be a exciting possibility for growth, establishing the necessary funds to purchase materials and pay workers can be extremely stressful, leading many businesses to turn down the government contract. Invoice factoring gives you the luxury of advanced payments whenever you need them and will allow you to take on government contracts and lead your business to more success in the future.
Give us a call at 855.465.8870
As a driven business owners, you’ve come to the right place. Our marketplace is filled with government contract factoring companies that will help you reach all of your business goals this year. Government contracts are highly competitive and you don’t pass up a fantastic opportunity. Out bid your competitors with the help of accounts receivable factoring.
Are You Ready to Take on That New Government Contract?
The best part? Our government receivables factoring services are free.