14 Dic Achieve business success with Nozama factoring
- Of all Nozama’s financial services, factoring is the one that provides our clients with the most facilities, allowing them to grow exponentially.
- Our clients can access their money on Amazon in advance, at a lower interest rate than with other financing methods, among many other features.
Liquidity is the foundation that all companies need in order to function on a daily basis, much like petrol in a vehicle. The problem is that in the business world, very often the amount for the service provided is charged in arrears or due to certain circumstances, the amount of the invoice is required in advance.
What is this? It can slow down the growth and expansion of a business, as growth requires investment in the same way that a plant needs water.
That’s why at Nozama Solutions, we offer our clients a unique financial service that allows them to boost their business through facilities that they wouldn’t otherwise be able to access. Do you still not know what it consists of? We’ll explain it to you below.
What exactly is factoring?
Basically, factoring is a mechanism for companies to advance payment through a financing entity. It works as follows:
- One of our clients makes an agreement with Amazon to sell certain products. It is essential for the client to be a Vendor, i.e. acting as a supplier of products for Jeff Bezos’ company.
- Amazon issues the invoice on a deferred basis, i.e. the company in question will receive the money between 60 to 90 days later.
- Our client needs the money before that date, so they request our factoring
- Thanks to the agreements we have with our financial institutions, we manage to advance a significant part of the invoice amount.
- This way, our client obtains liquidity in less time and at a much lower interest rate than if they were to get it through other means of financing.
The latter is because at Nozama Solutions, we support our clients with our impeccable track record. For this reason, the banks we work with offer our clients financial and economic products with very advantageous conditions.
Advantages and benefits of Nozama factoring
This service has three main benefits for your company:
- Invoices paid within 24-48 hours: i.e. you get immediate liquidity. This is one of the most important assets of a company because it measures the ability to convert it into cash without losing its value. In this way, you’ll be able to reinvest the money from the contract with Amazon quickly into another activity of your business and thus not slow down its growth.
- Document management: at Nozama, we have a large team of financial experts dedicated entirely to everything related to your company’s finances. This includes things such as settlement of payments, keeping an eye on overdue and uncollected invoices and everything related to the factoring process, negotiating with the financing company and always obtaining the most beneficial agreement for you.
- Preparation of monthly status reports: in the same way, the team of financial experts we have at Nozama will prepare a series of monthly reports so that you can clearly see the status of your company’s accounts.
But all this is much more important than it seems. Why? Because we free you from having to keep an eye on this part of your business, which means a significant reduction in costs and an increase in your profit margins. By not having to hire a specific, trained team to work within the Amazon environment, you’ll be able to save administrative and staff costs and use them in other areas of your business.
All members of our finance team are experts in the intricacies of working with Amazon and they know exactly what to do at any given time to maximise your profits.
So if you have a business, whether small, medium or large, and you want to sell on Amazon, Nozama Solutions can help you improve your profit margins so you can continue to grow and reach more and more people.