BusinessManager: The New Way to Unlock Liquidity

David Mottet, First Vice President—Commercial Lending

Let’s face it, when accounts receivable start to build, it’s usually a good problem to have. It’s a sign you are doing something right.David Mottet, First Vice President—Commercial Lending

But, you can face as much as a 90- to 120-day delay before you collect on your receivables. Meanwhile, you still have to replenish inventory, possibly expand the workforce and gear up to meet increasing customer demand. This is what makes maintaining liquidity so tricky.

This is also why we are excited about having a new solution to offer you: BusinessManager. It’s an online program accessible directly from anywhere you have Internet access. It can help keep your sales growing without the financial hiccups since it enables you to convert your receivables into cash. That cash is then deposited to your account on a next-day basis. But unlike a traditional receivables-based line of credit, the advance rate under the BusinessManager program is up to 90 percent.

How it works
You simply enter the pertinent data from your invoices into the Web-based software. Once added to the system, the receivables are then automatically tracked and aged until they are paid by your customers.

The advance your firm receives is also calculated automatically and made next day through a deposit to your Old Second checking account.

Because of the tracking component, receivables reports are generated for you on an ongoing basis. The system is compatible with most popular accounting software programs, making integration into your operations fairly straightforward. The collection of your receivables is then made through a lockbox service managed at the bank.

BusinessManagerClick here to view our BusinessManager Infographic.

Positive cash flow with benefits
As an accounting tool, BusinessManager does more than simplify the process of accounts receivable-based borrowing. It speeds the process to create a quicker turnover ratio.

It also means that in addition to the improved cash flow and the freeing up of your staff’s time for other activities, you are better positioned to capitalize on new business opportunities. With access to cash, you can also take full advantage of supplier discounts when paying your expenses to lower your own operating costs.

To get your receivables working harder for you, contact your lender to set up an appointment to learn more about BusinessManager and the other cash management strategies available at Old Second Bank.

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