Security Guard Companies: Turn Your Invoices Into Instant Cash!

One of the biggest problems faced by security guard companies is being able to meet the demands of your payroll during times when your company is expanding and growing.  Although your company may be securing more jobs for your security guards and earning more revenue, your current cash flow probably does not reflect this.  The reason for this issue is that most security guard companies obtain their payment through invoices.  Depending on the specific terms of the invoice, it may not have to be paid for up to three months.  This means that your security guards may be logging a large amount of hours in a single month, but your company will not receive the payment for those hours for several months.  In the meantime, it is your responsibility to come up with the money to pay your security guards what they have earned that month.

Even though the simple solution may appear to be issuing invoices with stricter payment terms, this will only result in your company losing business to your competitors.  Fortunately, there is a solution that will not affect your company's ability to grow.  A process known as factoring allows you to receive money for your invoices as soon as they are issued.  A factor (the company that provides the factoring service) will purchase your invoice for 70 to 95 percent of its face value as soon as your issue it.  They will wait until the customer actually pays the invoice, take their small service fee and then return any remaining balance to your company.  This financial practice is the most effective and reliable way to maintain your security guard company's cash flow, even during times of major expansion and growth.

If you are tired of struggling to keep your company's cash flow where you need it to be, take advantage of factoring and start receiving your money within approximately one day of issuing your invoices!