With the announcement of COVID-19 vaccines, many people are eager to get “back to normal.” Businesses, on the other hand, have had to make several adjustments over the past year, and focusing on the future hasn’t been a big part of their strategies. However, whether “normal” comes a few months from now or a year down the road, cash flow will determine whether businesses will be able to thrive and grow.
Cash Flow Is Key
The pandemic forced a number of businesses to focus on the here and now, in part because the virus doesn’t operate on a schedule. In a sense, what businesses have been going through has become its own version of “normal.” The major downside is that the economic turbulence accompanying the pandemic has business owners thinking in the short-term. But whether your business is trying to cover overhead and make payroll this week, or if you are laying the groundwork for post-pandemic growth, cash flow is essential.
Cash Flow and Planning
Businesses need to optimize cash flow during the pandemic and beyond to remain successful. Healthy cash flow means businesses can cover expenses and still build up capital reserves so they have a competitive edge once the pandemic is over. Right now, many businesses are operating invoice to invoice. Unfortunately, waiting on payments for services or products rendered can leave businesses with negative cash flow for a month or longer at a stretch. The pattern of staggered payments can prevent businesses from planning for anything beyond just treading water.
Fortunately, there is a solution. Invoice factoring optimizes cash flow for businesses both in the here and now, and for the future. Instead of waiting 30 days or longer to receive payments, factoring from Single Point Capital eliminates the delay entirely. We convert unpaid invoices to cash within a single day, giving your business fast access to revenue while boosting cash flow so you can plan for this week, next year, and beyond the pandemic. To learn more about our factoring services for businesses, contact the team at Single Point Capital.