Financial Solutions for SMEs

Small and medium sized enterprises (SMEs) don’t have access to the kinds of bulk financial solutions that large enterprises can use. Instead, small businesses need more focused tools that can sub in for what might be an essential in-house function in a large corporation. Otherwise, you spend too much money on functionality designed to streamline efficiency that you often don't need. Here are five ways to save money and carry out business as if you had many more employees than you do.

1. Staffing Instead of Human Resources

Hiring employees can be a huge time investment. Often, if you don’t give this task enough attention, your whole business will suffer. So, it may seem like a human resources person, or whole department is a top priority. Not necessarily so. You can save money without sacrificing employee quality by using outside staffing solutions. Try a solution you can access on your smartphone, like GoodHire, to get started.

2. Invoice Financing Instead of Financing and Collections

Invoice financing is a two-part tool. First, you may not need to pursue traditional loans if you use invoice financing, because you'll get money from the invoice as soon as you issue it, so that you can fulfill the work with the benefit of having cash on hand. You don’t need the same credit rating or company history to take advantage of invoice financing as you may if you were approaching a bank for a loan instead.

The second problem that invoice financing can solve is the hassle of having a collections team, or of asking your receptionist (or other staff) to track down your payments. The factoring company will do the work of tracking down the payment on your behalf. With nonrecourse factoring you have even more security if the factoring company is unable to receive payment.

3. Hootsuite Instead of a Social Media Team

Having a diverse social media strategy is smart, because some platforms get more and less popular with different demographics overtime. However, you likely find that it would be too much work for your marketing team, or for you, to post to any more channels than you already have. Inactivity can be more harmful to a brand than just not having the account at all. Use Hootsuite to post to multiple accounts all at once, and schedule your posts for the future, so that you don’t have to interrupt every day with your posting schedule.

4. Loyverse Instead of Paid Point-of-Sale

Loyverse is a free option for companies without a point-of-sale solution and those that don't have the resources to dedicate to a loyalty program. This POS and inventory management software will show you basic sales analytics, making it a very useful software option for SMEs.

5. Telzio Instead of a Phone Network

Sometimes, even when you want to stay lean, you’re tempted to invest in business infrastructure, like a phone network. If you absolutely need one, try using Telzio instead. It allows you to set up a system over the Internet, which allows your team to take calls anywhere. It’s more flexible and suitable for the realities of modern business.

Whether you'd like to learn more, or you're ready to take the jump and reap the advantages of financial solutions like invoice financing and non-recourse factoring, reach out to us at J D Factors. Our experienced team is here to help SME's like yours.