Information for the city of Fort Wayne
Fort Wayne is a city in the U.S. state of Indiana and the county seat of Allen County. The population was 256,496 as of the 2013 Census estimate making it the 76th largest city in the United States and the second largest in Indiana after Indianapolis. The municipality is located in northeastern Indiana, approximately 18 miles (29 km) west of the Ohio border and 50 miles (80 km) south of the Michigan border. Fort Wayne is the principal city of the Fort Wayne metropolitan area, consisting of Allen, Wells, and Whitley counties, for an estimated population of 419,453. In addition to those three core counties, the combined statistical area includes Adams, DeKalb, Huntington, Noble, and Steuben counties, for a population of about 615,077.Under the direction of American Revolutionary War statesman Anthony Wayne, the United States Army built Fort Wayne last in a series of forts near the Miami tribe village of Kekionga in 1794. Named in Wayne's honor, the settlement established itself at the couence of the St. Joseph River, St. Marys River, and Maumee River as a trading post for European pioneers.
The village was platted in 1823 and experienced tremendous growth after completion of the Wabash and Erie Canal and advent of the railroad. Once a booming manufacturing town located in the Rust Belt, Fort Wayne's economy has diversified to include distribution, transportation, and logistics, health care, professional and business services, leisure and hospitality, and financial services. The city is also a center for the defense industry which employs thousands in the city.As northeastern Indiana's cultural hub, Fort Wayne is home to 15 museums and art galleries, two daily newspapers, philharmonic orchestra, botanical conservatory, zoo, convention center, three minor league sports franchises and an Division I member school, and 86 public parks. The city is home to the fifth largest public university in Indiana, Indiana University Purdue University Fort Wayne (IPFW), and the private universities of Concordia Theological Seminary, Indiana Institute of Technology, and University of Saint Francis. The city is also recognized as the final resting place of American folklore legend Johnny Appleseed.
The city has been an All America City Award recipient in 1982, 1998, and 2009 and received an Outstanding Achievement City Livability Award by the U.S. Conference of Mayors in 1999.Manufacturing is deeply rooted in Fort Wayne's economic history, dating to the earliest days of the city's growth as an important trade stop along the Wabash and Erie Canal. Railroads, introduced shortly after the canal's arrival, eased travel from Fort Wayne to other booming industrial centers along the Great Lakes, such as Chicago, Detroit, Toledo, and Cleveland. Throughout the early and mid 20th century, manufacturing dominated the city's economic landscape. From 1900 to 1930, Fort Wayne's industrial output expanded by 747 percent, with total production valued at $95 million in 1929, up from $11 million in 1899. The total workforce also increased from 18,000 in 1900 to nearly 50,000 in 1930. among several others, producing such items as refrigerators, washing machines, automatic phonographs, meat packing products, televisions, garbage disposals, automotive parts and motors, trailers, gasoline pumps, trucks, beer, tents and awnings. Magnet wire production became an especially vital component to the city's economy. In 1960, Fort Wayne was at the center of the United States magnet wire industry, home to , producing nearly 90 percent of North America's magnet wire.The 1970s and 1980s were times of economic depression in Fort Wayne.
As much of the city's manufacturing foundation eroded and the blue collar workforce shrank, Fort Wayne joined several other cities reeling economically within the Rust Belt. The biggest blow to the city's economy came September 27, 1982 when International Harvester announced it would close its Fort Wayne assembly plant, which had employed 10,600 at its peak. General Electric also downsized much of its more than 10,000 person workforce at this time; GE announced that operations at the Fort Wayne plant would officially end in 2015. Amid other area plant closures and downsizing, coupled with the early 1980s recession, the city lost 30,000 jobs and had reached a 12.1 percent unemployment rate. arrival to Allen County in 1987 helped fill the void left by shuttered manufacturers and aided in the area's recovery, employing 3,000 at its Fort Wayne Assembly.Through the 1990s and into the 2000s, the city diversified its economy; manufacturing now employs 16.9 percent of Allen County's workforce. Other important sectors include distribution, transportation, and logistics (23.1 percent), health care (17.9 percent), professional and business services (12.1 percent), leisure and hospitality (11.1 percent), and financial services (6.3 percent). The leisure and hospitality sector has especially grown, with 5.7 million visitors spending more than $466 million in Fort Wayne in 2009. The city is also a center for the defense industry, employing thousands at such companies as BAE Systems (1,150), ITT Exelis (1,165), Raytheon Systems (950), and the Fort Wayne Air National Guard Station). In 2012, the county's workforce was 174,207 with an unemployment rate of 8.3 percent. Abraham Lincoln: The Hoosier Youth has stood in front of Lincoln Financial Group's downtown offices since 1932.headquartered in the city, ranking 354th.According to Greater Fort Wayne Inc., as of May 2014, the ten largest employers in the county were
Information for the state of Indiana
A high percentage of Indiana's income is from manufacturing. The Calumet region of northwest Indiana is the largest steel producing area in the U.S. Indiana's other manufactures include pharmaceuticals and medical devices, automobiles, electrical equipment, transportation equipment, chemical products, rubber, petroleum and coal products, and factory machinery. Despite its reliance on manufacturing, Indiana has been much less affected by declines in traditional Rust Belt manufactures than many of its neighbors.
The explanation appears to be certain factors in the labor market. First, much of the heavy manufacturing, such as industrial machinery and steel, requires highly skilled labor, and firms are often willing to locate where hard-to-train skills already exist. Second, Indiana's labor force is located primarily in medium-sized and smaller cities rather than in very large and expensive metropolises. Indiana is home to the international headquarters and research facilities of pharmaceutical company Eli Lilly in Indianapolis, the state's largest corporation, as well as the world headquarters of Mead Johnson Nutritionals in Evansville. Overall, Indiana ranks fifth among all U.S. states in total sales and shipments of pharmaceutical products and second highest in the number of biopharmaceutical related jobs.
We just collected the money that we were owed a lot more quickly.
Fort Wayne Factoring Companies
Factoring is when a third party commercial finance company purchases the Invoices or Accounts Receivable from a business. -Fort Wayne Factoring Companies
IT WORKS WHILE YOU SLEEP
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Receivables Factoring at businessinvoicefactoring.org
Factoring: An Overview
What Is Factoring?
‘Factoring’ is when a third party commercial finance company purchases the Invoices or Accounts Receivable from a business. The finance company concerned is called a ‘Factor’ and the transaction is known as ‘Factoring’. Factoring is also known as ‘Accounts Receivable Financing’ because factoring occurs when a business needs to access cash quickly, quicker than if it had to wait the 30 to 60 days (or longer) to receive payment from a customer.
The majority of factoring companies purchase invoices and advance cash within 24 hours, although the terms and nature of factoring can differ between industries and different financial service providers. Depending on the industry, the customers’ credit histories, and various other criteria, the advance rate can range from between 80% and 95%. The business also receives back office support from the factor. Once the factor has collected from the business’s customers, the business will be paid the reserve balance of the invoices, less a nominated fee for assuming the collection risk.
The main benefit of factoring is that a business is not required to wait one or two months (sometimes more) for payment by a customer – the business will receive cash in hand to operate and grow their business. It’s important to note that factoring is not a loan: there’s no debt with factoring. Funding is unrestricted, which means that a business has more flexibility than borrowing from a bank.
The Five Simple Steps of Factoring
1. As a business, you provide a service to your customer;
2. The invoice for this service is sent to a factoring company;
3. On this invoice, you’ll receive a cash advance from the factoring company;
4. It’s now up to the factoring company to collect full payment from your customer;
5. Once payment has been received, you’ll receive the balance of your invoice account from the factoring company – minus their fee.The Advantages of Factoring
There are many reasons why factoring has become a popular and valuable financial tool for businesses today. The key benefit of factoring is that a business receives a quick boost to its cash flow: in fact, many factoring companies offer cash on their Accounts Receivable within 24 hours! The factoring company takes responsibility for collecting customer payments, and may also evaluate the payment and credit histories of a business’s customers.
Other Benefits Include:
• When a business needs access to cash, factoring can be customized and managed in order to provide the necessary capital;
• The business balance sheet will not show this financing as a debt;
• Factoring is not based on the company’s credit or business history: it’s based on the quality of its customers’ credit;
• Factoring is not determined by the company’s net worth: it provides a Line of Credit based on sales;
• There’s no limit to the amount of financing through factoring, unlike a conventional loan;
• Factoring is an ideal solution for start up businesses that often require immediate cash flow.
Is the Concept of Factoring New?
No, it’s not! In fact, the origin of factoring comes from overseas trade among nations and dates back several centuries to the 1400s when it became part of doing business in England. In the year 1620 it arrived in America with the Pilgrims. Like other financial tools, factoring has improved and evolved over the years. It became an effective way of creating cash flow in the United States at a timewhen companies faced strict limitations when trying to secure loans in the country’s damaged banking system.
Who Uses Factoring?
Factoring is available for companies of all sizes, ranging from a one person business to Fortune 500 companies. Every business can use factoring as an effective way of increasing their cash flow. In addition, factoring spans all types of industries, from transportation, trucking, textiles, manufacturing and distribution, staffing agencies, and oil and gas.
The cash generated from factoring is used by companies to purchase new equipment, pay for inventory, expand operations, add employees, and basically cover any expenses related to the running of their business. The beauty of factoring is that it allows companies to make quick decisions and to expand at a faster pace.
How Does Factoring Work?
For the purpose of this post, we’ll describe a fictional example as a way of illustrating a common factoring situation.
XYZ Transport is a trucking company: their intention is to double their fleet size over the next two years in order to service more clients in the West. The company has just successfully won a new customer on the West Coast who requires freight to be shipped from Oklahoma to Los Angeles. This new customer is more than happy to pay for the service within 30 days; however, that won’t cover all the immediate costs involved, like payroll, fuel, and maintenance costs of running the route.
This is a familiar situation for the owners of XYZ Transport: the lack of available cash flow in the past has prevented the company from accepting new business. So now XYZ Transport has turned to a factoring company: they have agreed to sell the West Coast customer’s invoice to the factoring company in exchange for a 90% advance on the total amount – within 24 hours! This much needed influx of cash will replenish the trucking company’s reserves and allow it to continue running the Oklahoma – Los Angeles route. In addition, XYZ Transport now has the added flexibility of taking on new customers.
How Much Do Companies Factor?
Each company has its own unique business needs, so somecompanies only factor invoices for customers that are slow in paying, whilst other companies factor all of their invoices. Companies can factor receivables ranging from a few thousand dollars right through to millions of dollars each month.
What’s the Difference between Factoring and a Traditional Bank Loan?
Factoring, also known as Accounts Receivable Financing, is a quick, flexible and effective way for businesses to create a steady cash flow stream. See below for how factoring is different to a Line of Credit at a bank or a traditional business loan
We just collected the money that we were owed a lot more quickly.
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The Advantages of Trucking Factoring for Trucking Companies
Around the country, many owners of small trucking companies are running into the same problems when trying to expand their business. While the trucking business can be quite lucrative, it can take many weeks or even months to finally get paid on hauling invoices. This puts trucking companies in a real bind by having to play catch-up while trying to pay bills and salaries of their drivers.
We caught up with Jason Kind, an owner of a small trucking business that he created just a few years ago. Like many trucking owners, Jason was trying to expand his company to meet the needs of his clients, but was running into money issues that were holding him back. We asked him about his situation, the challenges he faced and how Trucking factoring played a real role in helping his company to expand without being burdened by paying back high interest loans.
Jason, it’s good to have you with us.
Jason Kind: “Thanks, I appreciate being here.”
Tell me a little about your trucking company and how it got started.
JK: “I had been driving trucks for years when in 2011 I decided to start my own trucking business. I went through the loan process, purchased a couple of trucks and got started. At first, it was really exciting because I had made a few connections as a driver and I picked up some early business. It seemed like everything was starting to snowball as I was getting requests from other businesses, but I was running into a cash problem.”
It seems rather strange that being successful was causing you to be short on cash?
JK: “I know. You see in the trucking business we charge invoices which means that it could take weeks or even months before the cash would roll in. A typical invoice takes anywhere from 45 to 60 days before the payment comes through. Here I was getting offers from other businesses and I didn’t have the cash on hand to buy trucks and hire drivers.”
So, what did you do?
JK: I’ll admit I was at my wit’s end because I thought by the time I had the cash to expand that the interest would dry up first. I didn’t want to take out another loan because I would just be putting off that debt until later and I had nothing to sell or any additional way to make more money. It was around that time when I heard from one of my friends in the trucking business about Trucking factoring.”
What exactly is Trucking factoring?
JK: “Well, Trucking factoring is a way for trucking companies like mine to get paid quickly for the loads we are hauling. Instead of having to wait weeks or even months sometimes to get paid for hauling, Trucking factoring lets us get money right away for the work that we’ve done.”
How does Trucking factoring work?
JK: “Well, there are companies out there who are willing to purchase the invoices that trucking companies like mine get when we perform a job. I managed to find a good, reputable company that actually purchases the invoices we get after performing a job along with other bills that we charge in our business. In return, they pay us cash that I not only use to cover my payroll, fuel costs and expenses, but I was able to put back enough money to purchase another truck a lot more quickly than if I had simply waited for the invoices to be paid.”
It seems like you stumbled on a pretty good deal when it comes to Trucking factoring. Are there any other benefits that you’ve enjoyed by using this service?
JK: You bet, because the invoices act as the means to pay the company. It is not a loan where I have to pay back any money. The Trucking factoring company simply takes a very small percentage off each invoice or bill as their fee and I get the rest in cash right away. It’s really worked out for me because not only was I able to get the cash needed to expand my business I was able to pay off my original loan a lot more quickly as well.
In fact, I was able to leap onto new business offers more quickly because the Trucking factoring allowed me to start purchasing new trucks and hire drivers months before I could even consider doing that simply waiting on the invoices.
This Trucking factoring sounds almost too good to be true, surely there must be a catch somewhere?
JK: I’ll admit, I was a little skeptical at first, but it’s all pretty straightforward. The Trucking factoring company I use didn’t even charge me a sign up fee nor did they sign me to any long term contract. I just took a few minutes with them to set everything up and when I turn in an invoice, they pay me cash right on the spot.
You said you didn’t have to sign any long term contracts. Are there a minimum number of invoices or amounts that you have to turn in each month?
JK: Actually, no. When I first started with them I was turning in practically all of my invoices so I could generate some cash up front. Now, when I need some cash to pay off bills or make quick purchases, I go to the company with my invoices. Some months I’ve turned in quite a few invoices, other months not so much.
It really sounds like you found a great deal in Trucking factoring?
JK: You bet. I have even used their fuel advances and discount cards to help me save money which really helped out in the first year of my business. I’ve had other trucking owners call me up and ask me how I was able to expand my company as fast as I did. I tell them all the same thing, if you have invoices, then Trucking factoring is the way to get fast cash without having to take out loans or put yourself in a deeper hole.
Jason’s business continues to grow and Trucking factoring was a big reason why he was able to expand so rapidly. If your trucking business is short of needed cash with invoices that have yet to be paid, then you should consider Trucking factoring as a way to put money into your hands right away.
Fort Wayne Factoring Companies Articles
Why Do Companies Choose Factoring?
We know that factoring is the ideal way for a business to access instant cash on their company’s receivables, but there are other important benefits as well. Factoring can be a very handy financial instrument for many businesses.
Listed below Are Six Key Benefits of Factoring
No. 1: Back Office Solutions
Anyone running a business knows just how time consuming and expensiveit can be collecting payments from customers. When you employ a factoring company they’ll take over that role for you using their own collection specialists: it’s their job to follow up with customers until such time as your account has been paid in full. In addition, some factoring companies use online accounts, which means that you’ll have the ability to track your customers’ payments in real time.
Handing this time consuming part of your business over to the factoring company frees up your time to do what you do best – running your business, looking for new business opportunities, and providing your customers with excellent customer service.
No. 2: Better Quality Customers
Some factoring companies have their own rating systems for companies involved in your industry, in addition to having access to credit data on companies that could well become your new customers, and days pay information. Others create their own rating systems for companies working in your industry, which allows you to make calculated, informed decisions about both existing and new customers.
No. 3: Instant Access to Cash
When a company provides goods or services on credit it usually has to wait somewhere between 30 and 90 days for customers to pay on their invoice, and this very often leads to cash flow problems for the business. And that’s the beauty of factoring! When you use a factoring company you’ll typically receive an advance on an invoice within 24 hours. This immediate injection of cash allows businesses to purchase additional equipment, employ new staff, and cover other business expenses.
No. 4: Growing Your Business
Because factoring provides instant access to cash, it offers you the flexibility to grow your business at a faster pace. In addition, factoring is very simple to set up. A factoring account can be created within a matter of days, whereas a traditional bank loan can take weeks. And, there’s no limit to the amount of funding a factoring company can provide, unlike bank loans. Of course, this is assuming the factoring company you choose to work with has a strong capital structure. Over a period of time, the volume of factoring can increase within months – from thousands to millions of dollars.
No. 5: Funding for Start Ups
Start Ups quite often require financing to get their business up and running; but because they have no cash flow statements or balance sheets, and no business history, they’re highly unlikely to qualify for cash flow or asset based lending.
Factoring is not concerned about these requirements because it’s main interest is in the credit history of your customers. Before a factoring company offers you financial assistance it will examine your customers’ credit scores, their payment patterns, and general financial health. Typically, the factoring company will not be interested in how long your company has been operating.
No. 6: Factoring Is Not a Debt
Factoring does not become a debt to your business because it’s not a loan. Your business receives financial support from the factoring company as and when you accumulate invoices, and the matter is settled once your customers have paid in full. It’s true that if you’re utilizing recourse factoring, you, as the factoring client, assume the risk if your customers default on payment; however, factoring companies usually allow businesses to work off that amount by retaining a portion of reserve payments or future cash payments.
You Can Find More Information at http://financialfactoring.org/
and at www.accountsreceivablefactors.org