Internet marketing company manages a high DSO with a $4M factoring line

AR Funding is proud to welcome this business services company as one of its newest clients.

AT A GLANCE

Industry: Internet marketing
Location: DE
Company size: ~$23M annual revenue
Reason for applying: Unhealthy DSO
Cash available through factoring: $4M

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PROBLEM: 60+ days sales outstanding (DSO) strains cash flow

This internet marketing company has helped its clients earn billions in sales using a proprietary advertising technology that connects brands directly to the consumers who love their brand. 

The company recently won a massive contract with one of the world’s largest travel agencies, a win that will significantly increase annual revenues. But a global customer of this size comes with challenges. In addition to payment terms of 60+ days, payment flows through a complex,international accounting structure that makes it hard to predict when the cash will arrive. 

SOLUTION: $4M factoring credit line

The company owner had previously worked with AR Funding to factor invoices for a different company. As soon as he signed the paperwork with the new, global customer, he contacted us to find out how we could help. Based on the customer’s stable credit rating, we were able to offer the owner a factoring facility of $4 million. 

Now he can feel confident about having enough cash on hand to stabilize and expand.

This happy client received financing with help from Crawford Reeves, Regional VP, Southeast Region. Find out how much cash your company can access through invoice factoring. Talk to us.