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Working capital as defined by Merriam-Webster's online dictionary: "capital actively turned over in or available for use in the course of business activity." This means that the money left over after the bills are paid should be "available" and doing something "active" for the business. Now, many small to mid-sized businesses have a lot of potential funds, but it sits dormant for 30 to 90 days or more in the form of outstanding invoices. Tapping into this resource, your accounts receivables, sooner helps increase cash flow, significantly reduce the number of Days Sales Outstanding and allows for enhanced financial performance and sustainable growth. Most small and mid-sized businesses have about 60% of their working capital tied up in accounts receivable. That is a lot of potential working capital that could be put to use today for funding growth. By selling invoices on an online auction platform, business owners can sell these IOUs for cash now. Unlike other financing methods, with this solution sellers maintain complete control of the transaction. They choose what to sell and a price they are willing to pay for an advance on money owed to them-which gives them flexibility and freedom to pursue planned improvements and take advantage of unexpected opportunities. The application to join the auction marketplace is quick and easy, and can be filled out online. Once you are approved as a registered Seller, you can begin choosing which outstanding invoices to post for auction. Any commercial receivables can be listed for sale; however, well-known, investment-grade account debtors with good credit ratings tend to receive the most favorable rates. In addition, the more often you sell, the better the pricing because you are building a transaction history. Often, when opportunities arise such as a raw materials discount, the need for working capital can come down to just a day or two. With the receivables auction platform you can have cash in hand in as little as 24 hours. Once an auction closes the funds are deposited in the seller's account the very next day. Sellers can post invoices at their discretion using the receivables auction platform when and how they see fit. This seller-friendly financing solution gives small to mid-sized businesses the opportunity to compete with their larger counterparts and helps give them the quick access to credit that is vital for growth. The auction process allows registered and approved accredited institutional investors around the world to search the marketplace 24/7 and bid on invoices that they want to purchase. Because bidding occurs on such a large scale, this generally increases the competition and ensures the seller gets the most competitive cost of capital. An invoice is a promise of money-essentially a free loan extended to a customer. Thirty to90 days later, the business collects on this promise. The problem is that might be 60 days too late to put a down-payment on a storefront, get that great deal on a piece of equipment or hire part-time help. Whatever opportunity arises, selling accounts receivable through the receivable marketplace gives timely and efficient access to the necessary cash-at competitive rates - for growing your business. New Orleans based company facilitates easy Working capital for small and mid level companies by way of monetizing accounts receivables, helping them to meet their day-to-day capital needs. To know more, visit http://www.receivablesxchange.com
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