Prairie Business Credit July Newsletter

How Does Factoring Work?

Prairie Business Credit meets with you to help assess the company's cash needs. An application is completed and a processing fee is generally charged. Within a few days, we complete due diligence and review receivables in order to fund.      

We purchase collectible receivables for goods or services which have been completed, delivered and invoiced. Typically, Prairie Business Credit advances cash for 60-85% of the face value of the invoice.
Your company gets immediate access to cash without waiting 30-120 days for the invoices to be paid. Upon acceptance, you may receive funding within 24-48 hours.
Prairie Business Credit is reimbursed by collecting your invoices.
 
Factoring is most often used as a stepping stone, to get your company in the position to take advantage of growth opportunities. Once your financial position makes your company more "bankable," you may qualify for more traditional means of long term financing.

July's Feature

Research: The Average Age of a Successful Startup Founder is 45

"I started Prairie when I was 46 and reasonably confident that I'd gained experience after 20 years in lending to reasonably assure our success. As all entrepreneurs know, starting a business is a journey of learning and no amount of training perfectly prepares you for the reality of making all the decisions when your own bank account is at stake in being correct. As a lender I am always more confident of taking on a customer who is experienced broadly in their specialty and biased towards those who have successfully navigated a downturn or two. Gaining that experience simply takes years and there is no substitute. This study confirms what our own anecdotal experience has been."

- Trevor Morgan, CEO & Founder, Prairie Business Credit

What Others Are Saying About Us

"Prairie Business Credit quickly assessed an existing borrower's financing needs, and they refinanced us out of that difficult credit. They closed what they proposed, and we've added them to our bank's possible refinance lenders in the Chicagoland marketplace."

- Bank C&I Workout Leader

25 Years Has Taught Us...

After being in business for 25 years, financing over 500 companies, graduating 70% of them to be bankable clients, we have learned a few things along the way.

Good bookkeeping is invaluable. Your financial statements are like your scorecard. Without getting good immediate feedback about how your company is performing, you are operating blind. How can you fix things when they are wrong? How can you do more of what is working? There is no substitute for good bookkeeping and success without it will be elusive.