Home Health Care Factoring – Alternative Financing Solution for Agencies

2011 will go down in history as the year the big banks stopped lending to small businesses. On the other hand, 2011 will also be remembered as the year alternative lenders came to the forefront of the small business financing industry. Specifically, Credit Unions, Community Development Financial Institutions (CDFIs), Micro Lenders and Accounts Receivable Factoring Firms all said YES to the majority of their small business financing applications while most larger banks repeatedly said NO.

Although a home health care agency owner could be approved for financing by any of the alternative lenders listed above, the best alternative financing option for them is to work with a home health care factor, and here’s why:

Home Health Care Factoring Creates Positive Cash Flow
Some Medicaid waiver programs can take up to a month to reimburse a home health care agency for its pre-approved non-medical in-home services. This lag in payments makes it difficult for new or growing home health care agencies to be able to meet payroll and other financial obligations. However, when home health agency owners sell their Medicaid receivables to a home health care funding firm, funds can be directly deposited into their bank account within hours. Instead of waiting weeks or months, factoring your home health care business gives business owners immediate access to cash…

Click here to continue reading more reasons why home health care agencies should use a factoring.

Home Care Invoice Funding – Is it Right For Your Private Duty Agency?

There are many reasons why a private duty agency would try to qualify for home care funding. However, the most common motive is that they cannot afford to wait weeks or months to be reimbursed by Medicaid or another governmental agency.

Without a constant inflow of cash, home care agencies run the risk of not having enough capital to meet payroll, pay vendors or grow their business. Fortunately, home care financing can provide the necessary capital to help struggling private duty agencies maintain a healthy cash flow.

Click here to access key questions that will help you decide if home care invoice funding is right for your private duty agency.

PRN Funding to Give Away Amazon Gift Card at Private Duty Home Care Leadership Summit

Las Vegas, NV-PRN Funding, LLC is excited to speak with private duty home care agency owners about factoring at the 7th Annual Private Duty Home Care Leadership Summit & Exposition at the Bellagio in Las Vegas.

Marketing Manager, Nikki Flores will be in booth #303 January 23-25 speaking with private duty home care business owners about how they can turn their receivables into cash immediately through private duty home care invoice factoring.

In addition to learning about invoice funding options, all attendees are invited to stop by booth #303 and enter our drawing to win a $100 Amazon gift card.

Click here to read the official press release: Private Duty Home Care Association Invites Factoring Firm as a First-Time Exhibitor.

Factoring Brokers Should Know Their Funders

Cash flow consultants know that factoring is a great way to ease their clients’ cash flow tensions. However, pairing a prospect with the wrong factoring company could be even more detrimental to your client’s cash flow. Not to mention, sending a prospect to the wrong funder could also damage the relationships you have with your client and the funder. In order to avoid such a catastrophe, it is extremely important for consultants and brokers to know how each of their funding partners’ factoring programs work so they can match their clients with the most appropriate one. The best way to get to know your funders is to ask the following four questions…

One: What is your focus?
In general, factors can be divided into three different operating categories. First, there are large factors that operate nationally and are able to fund clients across numerous different industries. On the other hand, there are some factors that focus their operations in one specific geographic region. These smaller local factors have a home field advantage because their clients like knowing that their factor is literally right around the corner. The last category is comprised of factors that concentrate their funding in one specific niche. (For example, PRN Funding only factors invoices for medical vendors.) These factors’ clients appreciate the fact that their funder understands their specific industry.

Click here to read the rest of the Questions Factoring Brokers Should Ask to Get to Know Their Funders.

PRN Funding’s 2012 Trade Show Schedule

Curious about PRN Funding’s healthcare factoring services?

Check out our 2012 Trade Show schedule. We’d love to see you if you’re planning on attending any of the shows below:

Trade Show Location Dates Booth #
NAHC Leadership Summit Las Vegas, NV Jan 23-25 303
ACE12 Indianapolis, IN Aug 8-11 108
NPDA Orlando, FL Sept 12-14 TBD
Decision Health Las Vegas, NV Nov 2-4 TBD

2011 – Year of Alternative Financing

Did you happen to see the story on SmallBizTrends.com entitled: Small Business Story of the Year: The Rise of Alternative Lending?

It was an excellent post about how bank lending declined in 2011, but alternative financing lenders such as Credit Unions, Community Development Financial Institutions (CDFIs), Micro Lenders and Accounts Receivable Factoring Firms increased their lending capabilities for small business owners.

Specifically, the article stated that large banks rejected small business loan applications 90 percent of the time in 2011, whereas smaller financing institutions and alternative lenders approved nearly half of all the funding applications. Moreover, in November alone, alternative lenders approved 62 percent of small business funding requests.

Meet the Founder of PRN Funding

Philip Cohen is the founder and President of PRN Funding, LLC. PRN Funding is an extraordinarily focused niche player in healthcare funding. With years of experience in the healthcare industry, PRN Funding exclusively factors the accounts receivable of temporary nurse staffing agencies, medical transcription services, medical coding companies, medical staffing companies, private duty care agencies and any other type of business who sells goods or provides services to healthcare institutions.

Prior to founding PRN Funding, Mr. Cohen spent a decade responsible for corporate joint ventures, strategic alliances and growth initiatives in the medical transcription industry. As Vice President of Corporate Development for Medical Records Corporation, he initiated and finalized numerous acquisitions, including six medical transcription service companies.

Mr. Cohen coordinated Medical Records Corporation’s merger with Medifax/SecrePhone, which resulted in The MRC Group. Upon merger completion, he assumed the role of Senior Vice President/General Manager. In addition to his corporate development responsibilities, Mr. Cohen guided the successful launch and ongoing operation of PowerScribe, the leading product in the integration of speech recognition and medical transcription.

Click here to continue reading Philip Cohen’s Biography.

Special Holiday Offer for Factoring Brokers

Invoice Factoring Brokers–Did you hear about this great promotion that PRN Funding is running for the month of December? The healthcare factoring firm is giving away leads for free! Check out the details of this factoring broker promo below:

We know it’s hard to find prospective factoring leads, so in the spirit of the holidays, PRN Funding is giving away leads–Absolutely FREE!

Send Nikki Flores (nflores@prnfunding.com) an email with your city and state and she will personally send you THREE factoring leads in your area!

P.S. Don’t wait too long – This offer is only good for the month of December!

What is Healthcare Staffing Payroll Factoring?

Healthcare staffing payroll factoring is the conversion of accounts receivable into cash by selling outstanding invoices to a factor at a discount.

It’s a practical option for healthcare staffing agencies that are unable to qualify for traditional bank financing in the early stages of business development. Moreover, healthcare staffing payroll factoring is a great alternative financing option for agencies going through rapid growth. Specifically, healthcare staffing payroll factoring is a financial solution that gives agencies immediate cash to help manage operations more efficiently.

Watch the video to learn more healthcare staffing payroll factoring:

Click here to read some additional key concepts about healthcare staffing payroll factoring.

Small Business Still Struggle to Pay Bills on Time

The Wall Street Journal ran a short article last week discussing the most recent poll results from Experian’s Business Benchmark Report. The main conclusion of the report was that small business owners are still struggling to manage cash flow, so they’re continuing to pay their bills late.

Specifically, the report said the following:

  • Businesses with between one and four employees were an average of 8.2 days late paying their bills – a nearly 15% increase from a year ago.
  • Firms with five to nine employees were 7.6 days late, an increase of about 16%.
  • The average for businesses of all sizes was 7.1 days.

Click here to read the entire Wall Street Journal Article: Paying Bills Promptly Still a Struggle.

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