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The Interface Financial Group Offers Small Businesses Spot Factoring Solution as Tax Debt Remedy

Oct 8 2012 12:00AM

Marketwire

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BETHESDA, MD -- (Marketwire) -- 10/08/12 -- According to The Interface Financial Group (IFG), North America's largest alternative funding source for small to medium-sized enterprises, the company's spot factoring services enable a small to medium-sized enterprise (SME) to sell individual financial assets, or one receivables account at a time, for cash as a tax debt remedy. This alternative method of financing involves no minimums or maximums, and no lengthy application processes or long-term commitments.

All businesses with the exception of a partnership must file an annual income tax return. Partnerships file an information return. The tax extension form used depends on how a business is organized. For small business owners to receive an extension, an IRS Tax Form 7004 must be filed, which enables companies to explain why they cannot file their tax return by the due date. A corporation can get an extension of time for filing a return by using an IRS Form 1138 which is typically used by companies expecting a net operating loss carryback. Another form known as IRS Form 2350 provides for U.S. citizens who are living outside of the country to extend their tax returns when they believe they qualify for special tax treatment.

"The advantages of spot factoring services include the fact that it can provide a quick cash remedy when a small business owner has a looming payment deadline, for instance, the deadlines for paying taxes," said George Shapiro, president and chief executive officer of IFG, one of the few factoring companies to offer spot factoring services.

The IRS will charge four (4) percent per year for unpaid taxes. Late payments cannot be extended and can result in fees and fines, or if taxes are left unpaid for a significant amount of time, a federal court can charge a taxpayer with tax evasion, leading to additional fines, possible prison time or probation.

Spot factoring benefits businesses that do not get paid for 30, 60 or 90 days by advancing up to 90 percent of a single invoice total, at the time of order fulfillment. Spot factoring differs from a traditional bank loan in that bank loans involve two parties, while factoring involves a party of three. Factoring is based on the value of the receivables, whereas, banks base their decisions on a company's credit worthiness. IFG looks at the creditworthiness of the client's customers and can provide funding within as little as 24 hours.

In addition to Spot Factoring, IFG's other financing solutions include: Export Factoring, providing services for companies who export from the United States and Canada; Construction Factoring for contractors; Purchase Order Financing; and Inventory Financing, a solution promoting a company's growth by funding them when they must expand and purchase inventory.

About The Interface Financial Group (www.ifgnetwork.com)

The Interface Financial Group (IFG) is North America's largest alternative funding source for small business, providing short-term financial resources, including invoice factoring services (invoice discounting). The company serves clients in more than 30 industries in the United States, Canada, Singapore, Australia, New Zealand, UK and Ireland, and offers cross-border transaction facilities. With more than 140 offices across North America and over 39 years of experience, IFG provides innovative accounts receivable factoring services and solutions by offering short-term working capital to growing businesses. Single invoice factoring, or spot factoring, is an extremely fast way to turn receivables into cash.

The Interface Financial Group was founded in 1972 to provide short-term working capital to help small to medium-sized businesses grow. The IFG organization operates on a local level, providing clients with local knowledge and experience and business expertise in numerous diverse areas in addition to accounts receivable factoring, including accounting, finance, law, marketing and banking.

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Kristin Gabriel
MarCom New Media
T: 323.650.2838
E: Email Contact
Headquarters: The Interface Financial Group
7910 Woodmont Avenue, Suite 1430
Bethesda, MD 20154
T: Toll Free: USA - 877.210.9748
T: Toll Free: Canada - 877.340.6893





Source: Marketwire


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