Businesses in search of funding often turn to banks or factors for a solution, making the two competitors in the marketplace. Despite this rivalry of sorts, banks and factors can (and do) get along — and even work together — to help companies in need of working capital.
For example, RMP Capital partners with bankers to help businesses that may not be qualified for a bank loan. Instead of sending an applicant away with a hard no, ease the news by offering a potential solution: factoring.
It may sound like you’re giving a potential customer away, but consider this: Helping solve the applicant’s funding dilemma builds trust, so the he or she will be more likely to return to you later. RMP Capital can assist your applicants with accounts receivable financing until they can graduate to a relationship with your bank.
A bank/factor partnership is especially pertinent when it comes to small businesses that have not built up sufficient credit history to qualify for bank loans. A factor can help small businesses grow and expand until they’re ready to work directly with a bank.
If you’re tired of telling borrowers that they don’t qualify for certain types of lending, consider partnering with RMP Capital. Instead of only delivering bad news, you could offer an alternative solution! To learn more about our partnership opportunities, give us a call at 631.738.0047.