Our NFE program gives you the ability to manage your factoring expense by drawing funds as needed to manage your expenses such as payroll and vendor payments.
Upon completion of our Service Application, Pavestone will review your average invoice amount; calculate your customers average days to pay, and review the ability of your customers to pay its obligations. Based on that equation, we are able to create a competitive NFE structure for your company that provides liquidity, manages collections, and provides ongoing credit analysis as you focus on your business. Pavestone uses all of your invoices as a pool of collateral and creates availability based on the advance rate established during the application process.
The program is priced using two variables. The first component is based on the administrative cost which is a combination of the average invoice amount and your customer’s average days to pay. Expressed as a percentage, this fee is charged at the time of submission of the collateral (invoices). The second component is controlled 100% by you. Pavestone will use an index such as the Wall Street Journal Prime Rate plus a spread to determine the cost.
Since you are charged only on the amount of money you draw against the collateral pool, you are able to anticipate your cash flow needs and draw money when needed. As we receive collections, the proceeds will pay down your balance and create additional availability.
Tim Valdez (Pavestone's President) stood by me during the 2008 financial crisis and helped me weather the worst economic downturn since the 1930s