Business to Business / Business to Government

Helping B2B and B2G Vendors Make Revenues Work Faster

If you own a business selling to other businesses or governments, why do you wait 30 days – or sometimes up to 120 days – to get paid for a product or service that your customer or client is already using to help them make money for themselves? If you’re a trusted advisor to business owners, why do you let that happen?

You know the answer: That’s when they said they’d pay, and like Pavlov’s dog, you’ve been conditioned to accept it. But while a business waits to get paid, it still needs to shell out money to sell and provide more billable product or service, or invest in infrastructure or personnel. The longer the lag time between billing and receiving payment, the greater the risk for your company’s failure.

Maybe you and your team have built in some incentives, such as a discount for payment within 10 days or accepting credit cards to get money faster in return for a fee. But…

  • Have you fully analyzed your cost of providing the discount or accepting a credit card for that specific transaction?
  • Have you built it into your price?
  • (By the way, have you analyzed the cost of waiting 30, 60, 90 or 120 days to get paid?)
  • Have you looked at other ways to put your AR to work – something besides a revolving line of credit pegged to an APR?

Capital Concepts USA consults with business owners and their trusted advisors to devise strategies and tap resources to accelerate cash flow. We analyze each business in relation to six key elements:

  • Pricing Strategy – Accounting for all the costs of providing products and services, including the time value of the money you don’t get as soon as you ship a product or complete an engagement.
  • Payment Modes – Looking at all the ways you could possibly be paid.
  • Payment-Mode Costs – Looking at the true cost of the methods used to get paid.
  • Financial Metrics – Analyzing the relationships of how your business gets paid to its ability to generate working capital to support future sales and revenue generation.
  • Cash Flow Enablers – Finding ways to unlock money from your balance sheet.
  • Business Credit Capacity – Finding ways to improve your balance sheet and responsibly borrow and service debt required for growth of your company.

Once we know how all of these factors affect your business, we can look at the most appropriate ways of accelerating its cash flow. Our customized solutions can include restructuring the balance sheet and rebalancing financial ratios to increase borrowing power or better comply with existing loan covenants – critical in today’s banking world.

We also can help businesses find alternative sources of capital, such as asset-based lenders. One of our goals, where appropriate, is to help businesses move away from paying back APR-based revolving lines of credit, for example, and to make financing based on each individual transaction. This can help make each transaction more profitable and provide more capital to make more sales while reducing a business’ potential addiction to debt!

We have done the research and due diligence on scores of vendors, and we will recommend those who provide both the level of service you require and customer service that will make you feel confident in your business relationship – and who can assist you on your path to growth. We look at each solution in the context of your overall operations and follow your program through to help you achieve your expected financial results – all for one fixed engagement price.

Talk to us about your cash flow issues and to explore the available options to get paid faster and provide stronger, more plentiful resources to build your business.

It’s your money…It’s your profile.