Janitorial businesses will “increasingly utilize contract cleaners.” Do you have a cash flow management plan in place to take on new customers?
According to the March 26, 2009 issue of Business Wire , “Businesses will increasingly utilize contract cleaners to reduce overhead costs.” That’s great news for companies in the contract cleaning business but, as you already know, there are expenses associated with taking on new clients. You’ll need:
- More contract staff
- More cleaning equipment and supplies
- Funds to meet a boosted payroll
You’ll need all of this before your new customers pay their first invoice. So, how confident are you in your projected cash flow management plan? If you don’t want to take on new debt through a bank loan, what are your alternate business funding strategies?
According to Business Wire, US demand for janitorial equipment and supplies is forecast to increase 2.4 percent per year to $7.6 billion in 2013.
Business Wire also says that new product development is expected in the janitorial equipment and supplies industry. Customers of janitorial products want better ergonomics in their equipment, plus cleaning products that are greener and more environmentally friendly.
If you sell or lease janitorial equipment and/or supplies, do you have a cash flow management strategy in place to meet the increasing demand for your products? If you don’t want to take on new debt through a bank loan, what are your alternate business funding strategies?
More institutions – meaning schools, hospitals and other public buildings – will be built or expanded, which means even more cleaning opportunities.
This raises the same questions about cash flow management and alternate business funding strategies.
Choose invoice factoring with MP Star as the core of your alternate business funding strategies as you expand your janitorial company.
When you choose invoice factoring as your business funding, you are taking on no new debt. You can use the funds freed up by receivables factoring in any way that you choose, including:
- Meeting payroll and other expenses
- Developing new products
- Expanding the service area of your janitorial business
For more information about receivables factoring and how it can help your janitorial business, call today at 800-833-3765, #150 or apply for receivables factoring online now .
