Financing for Your Security Guard Agency

>it through a factoring company.
Do you own a security guard company that doesThe premise behind factoring is very simple. Your
business with commercial companies or theinvoices from good (but slow) paying customers
government? Tired of waiting up to 60 days toare an asset — a valuable one. The
get paid? Learn how to get paid in 2 days (orfactoring company is willing to provide you with
less). In the past few years we’ve seen afinancing using them as collateral. Factoring is easy
massive increase in the security industry. Airportsto use and works as follows:
have beefed up their screening and security. Public1. You do your work, as usual. You bill your
and private buildings have more guards. Evencustomer but then submit a copy of the invoice
business are ramping up their security proceduresto the factoring company for financing
and hiring guards to keep premises and2. The factoring company provides you an
employees safe.immediate advance on 90% of the invoice. You
In other words, it’s a great time to be thecan use that money to meet payroll and pay
owner of a security guard agency. Provided, ofexpenses.
course, your company has the necessary3. The factoring company waits to get paid by
financing resources to meet your payroll andyour customer
business expenses.4. Once they are paid, they rebate the remaining
But meeting payroll can be very tough. Especially10%, less their fees
since commercial and government clients usuallyAs you can see, factoring eliminates waiting for
pay their invoices in 30 to 60 days. How can youpayment and gives you funds to run and grow
pay employees every week if your clients takeyour business. Factoring provides peace of mind,
that long to pay? The math just doesn’tenabling you to meet payroll easily. It also allows
work.you to take on new big clients with confidence,
The solution to the problem is to get financing.knowing that you’ll have the resources to
But I am not talking about getting a business loan.pay your employees.
Business loans are hard to get. There is a betterIf you own a security guard company or security
solution that is easy to qualify for and quick toagency, be sure to consider factoring as a tool to
set up. This financing tool is called invoice factoringgrow your business.
and your bank does not offer it. Rather, you get