Currently, his company, though a small operation, consists of off-site document destruction services as well as a single on-site disposal truck which is also available for transport as needed. His existing clients trust his company’s services – paper shredding, as well as the shredding of credit cards, computer tapes, other forms of media storage in use today. Each client is provided with a certificate of destruction along with its invoice for services.
Dave’s goal is to expand with an additional state-of-the-art disposal truck. While he has saved a substantial down payment, he is still concerned about finances, especially how he will make the needed payments while growing his clientele. He currently invoices most clients monthly, though a few choose to pay semi-annually or annually for his services. Given that most clients choose monthly invoicing with the option to pay in 30 days, Dave knows he needs a way to ensure cash flow and cover the cost of the new truck while he continues to service his existing clients and add new clients to his roster.