In just a period of weeks, the COVID-19 outbreak has had a dramatic impact on the global economy. Consumer and business spending has dropped off significantly as people around the world self-quarantine. For small- to mid-sized enterprises (SMEs), the impact is particularly strong because they generally have less than 20 days of cash reserves.
So what should an owner do to secure working capital during these uncertain times? There are a number of possibilities. But it’s important to understand the differences between these options, as some may have greater restrictions or even overall availability as systems are being pushed to the brink.
One option, receivables finance, offers a fast, easy way for SMEs to unlock the cash in their accounts receivables, while still giving them the flexibility to take advantage of the government’s Paycheck Protection Program.
Download Our White Paper on Receivables Finance and read why this is the optimum solution now.