The state of Hawaii may be one of the nation’s smallest in terms of population, but it’s the largest in terms of distance. The state is comprised of a chain of islands, spanning 1,523 miles of the Pacific Ocean. While many of those islands are uninhabited, the beauty of the state’s beaches, volcanic mountains, and lush landscapes bring huge numbers of visitors to its main eight islands. There are many industries that can benefit from using factoring companies in Hawaii.
Factoring in Hawaii
Hawaii’s large tourism industry employs many residents, but the state’s economy is also driven by its strong agricultural foundation. The business community includes companies in a variety of industries, ranging from high-tech startups to all kinds of service businesses. Even if a business is not affiliated with the tourism industry, with its high and low seasons, or farming, with its planting and harvest cycles, it can still experience times of cash flow challenges. When business owners have to wait 30, 60, or even 90 days for their customers to pay their invoices, they often have difficulty keeping up with payroll, maintenance, insurance, and other overhead costs. Even if they have enough working capital to cover fixed expenses, they may not have enough to expand their businesses and grow their market share.
This is where factoring can help. The companies can sell their invoices to a factoring firm, which then pays them upfront for most of the value of each invoice. The factoring firm collects directly from the company’s customers and sends on the balance of the amount, minus a small factoring fee, once the invoice is paid in full. The company can use this infusion of cash for its regular operating expenses or apply it to growing the business with more staff, more space, more equipment, or whatever else is needed. Hawaii business owners like this type of funding because it brings in funds quickly without them having to take out loans and incurring additional debt.
Hawaii Factoring by Industry
- Agriculture, especially sugar cane, pineapple, coffee, and bananas
Some of the best Factoring Companies in Hawaii
View the above list of factoring companies in Hawaii for more information.