The cash-flow challenge in tech & services
Enterprise clients impose net-60 terms on IT services, MSPs and consultancies that pay engineers every two weeks.
Customers in this sector typically pay in 30–60 days from enterprise clients. That gap is not a sign of a badly run business — it is simply how the sector trades, and it is why so many tech & services companies hit a ceiling that has nothing to do with demand.
How accounts receivable financing solves it
AR financing advances on enterprise invoices so growth isn't capped by client payment cycles.
Because approval is based mainly on the credit strength of your customers rather than your own balance sheet, AR financing is available to young companies, fast-growing companies and businesses that don't fit a bank's lending box.
Because approval rests on your customers' creditworthiness rather than your own balance sheet, newer tech & services companies and those rebuilding credit qualify on the same basis as established firms. Facilities run from $25,000 to $25 million and grow as your invoicing grows.
What tech & services clients use funding for
- Engineer payroll
- Hardware resale
- Project ramp-up
- Hiring
Who qualifies
- You sell to other businesses or government agencies (B2B / B2G)
- Invoices are for completed work or delivered goods
- Customers have reasonable commercial credit
- No unresolved tax liens that prevent a first-position UCC filing
What Tech & Services businesses need to apply
Applying takes about ten minutes. Most Tech & Services companies already have everything on this list, and nothing here affects your personal credit score.
- An accounts receivable aging report
- A sample invoice and the matching purchase order or contract
- A list of the customers you want to finance
- Articles of incorporation and your EIN
- A voided business check and photo ID for each owner
Why it pays to move now
The cost of waiting is rarely just interest. It is the contract you could not staff, the order you could not fill and the supplier discount you could not take. Accounts Receivable Financing converts work you have already delivered into cash you can deploy this week.
