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
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.