Technology has made factoring a more efficient business, requiring fewer banking skills, and much less labor than years past. Back in the 1980’s, when this author started in business, we were still working on handwritten ledger cards, and the “Yellow Pages” was the number one source of advertising. Even how people communicated was different. If you wanted to call the office you had to find a public pay phone and carry a stash of quarters. Cell phones didn’t exist until the early 1990’s. The phones cost upwards of a thousand dollars to purchase, and, it was 45 cents a minute to use them.
Twenty-five years ago, my wife and I bought a house with a tranquil turtle pond. Over time, we added to that pond. We collected a vast variety of turtles of different sizes, types, and species. We loved sitting at the water’s edge sipping our wine, watching the turtles swim carefree. Little did we know, nor did the turtles know, of the dangers that were lurking around.
Quick - who is the largest lender to businesses in the country? If your answer is: Bank of America, CitiBank, JP Morgan, Wells Fargo, or one of the other multi-national banks, you would be wrong . What about Hedge Funds? SBA? Goldman Sacks? Nope! Actually, the largest lenders to businesses are the companies themselves that extend credit payment terms to their customers by way of vendor financing. Also, the amount that is being loaned is increasing, not decreasing.
Pymts.com (who interviewed and wrote about AeroPay Express last year) wrote up NACHA info and even tied it to the story last year they posted about APE disaster relief. Link to story below:
Steve Troy's "Business Biographies: Shaken, Not Stirred... With a Twist" is featured in the September 2018 issues of MBR: Small Press Bookwatch's online book review magazines.
Nobody likes a thief. Unfortunately, as the economy gets stronger, and people get wealthier, there is no shortage of people who are looking to separate you from your money. You need to be the one to protect yourself from being one of thousands of victims of fraud each year. Listen to the old adage, “If it’s too good to be true, it usually is!” We are not talking about that random robbery, burglary, or car theft. We are referring to investment fraud. That is a white collar crime.
You might think running your company on a cash basis is a smart and savvy way to do business. You might be surprised to learn that there are many businesses that still sell goods COD. Specific industries especially sell their product COD requiring cash or wire transfer when they sell their goods. It’s a term of sale that has been around since the first camel hit the silk road.
Steve Troy's book, Business Biographies, hit the top of the charts in James Metcalfe's article, "Business Growth: The 7 Best Books By The Brightest Businessmen".