For too many companies that are actually growing in this economy , many are having a hard time finding money to grow.  They are caught  between banks that are unwilling or unable to lend money and they do not want to work with factoring companies that are expensive and intrusive into their business.  I am seeing a lot of companies who are working more closely with their suppliers to stretch out their payables to keep the cash flowing.  I am also seeing a reliability on friends and family who are chipping in to help as the companies downsize their staff.  There are other options in the marketplace, but they are sometimes harder to find. 

As I am calling on businesses, I usually get one of three responses:  I wish I had known about you a few years ago, I am going to keep your information for the future because you never know what is going to happen and lastly, where do I sign up?  Almost everyone I talk to sees the need for a receivables financing product like ours, but few know that we exist.

Being on a cash basis is always valuable, but in this economy it is critical.  If you can match revenue to expenses, you have many more options.  I believe we still have some uncertainty in the economy and businesses will have to look at every option available to finance their businesses until we have a complete recovery.  While margins are shrinking, it is still important to pay if necessary to have the cash to survive.