Alexandra Levit's Water Cooler Wisdom

Are Small Businesses Offering the Right Benefits?

In the post-pandemic era, employee benefits have taken on a new dimension of importance. However, due to rising expectations for benefits that were introduced during COVID-19, there is often a gap between what employees want versus what small business owners are prepared to provide.

Ipsos’ Future of Work study recently surveyed more than 1,100 full-time and part-time American workers about their employer benefits. Nearly half (49%) of respondents reported that their organizations’ benefits made them more likely to stay at their current jobs.

Thirty-four percent of Ipsos’ respondents said their employers were now offering mental health and wellbeing services such as employee assistance program, discounts on therapy, and coverage for mental health care in a health insurance plan, while 28% mentioned paid parental leave as a core benefit.

While typical voluntary benefits like retirement contributions (54%) and paid time off (57%) continue to top the list of what employers are offering their workforces, newer services such as fertility (9%), adoption (9%), and gender transition (6%) support are gaining traction.

While it’s not fair to compare small businesses with larger organizations with more resources, many owners recognize that improving benefits is a critical exercise in attracting and keeping higher quality talent.

“The hiring marketplace is competitive for a small business, so we need to make it easy for people to say yes to us, and part of that equation is employee benefits,” said Robert Brill, owner of Brill Media.

Brill has consciously evolved his benefit offerings over time. They include the accrual of three weeks of vacation time and health insurance, as well as new parent leave, access to Teladoc for quick phone medical help, and extra days off for tenured employees.

Rather than decreasing benefits now that the pandemic crisis has mostly passed, Brill has increased his “as a thank you to the people who stayed with us,” he said.

Wendy Wang, owner of F&J Outdoor, also enhanced her employee benefits during the pandemic and has no plans to dial them back. “We increased the flexibility of our working hours and introduced remote work options to ensure the safety and wellbeing of our team,” Wang said. “We believe these changes have positively impacted our work culture and will continue to do so in the post-pandemic world.”

F&J Outdoor offers a range of benefits including health insurance, gym memberships, professional development courses, and tuition reimbursement. “We believe that a happy and healthy employee is a productive one, and these benefits reflect that belief,” she added.

For Muffetta Krueger, owner of Muffetta Household Staffing Agency, selecting benefits involved a thoughtful and thorough process. “We conducted surveys and held discussions to understand the specific needs and preferences of our employees,” she said. “Additionally, we sought professional advice to ensure that the chosen benefits align with both our budgetary constraints and the wellbeing of our workforce.”

Wang added that legal compliance adds another layer to benefit selection, saying that depending on the location and size of the business, there may be legal requirements to provide certain benefits to comply with labor laws.

How should small business owners go about ensuring that their benefits package meets the needs of their workforce and stays within their means? The following tips may prove helpful.

Start with the basics.

Research your competitors’ offerings to determine the benefits that are considered standard in the industry and for your size organization. For example, providing company-sponsored health insurance may be a given in some situations, while in others it’s at the employer’s discretion.

Choose extensions based on feedback.

Hold open dialogue sessions and leverage technology to survey your employees often. The results should provide major insights into the benefit trade-offs that your employees are willing to make. An ideal benefit supports the values of employees as well as the values of the organization.

Keep in mind that supplemental benefits you offer may vary depending on demographics, life stages, and individual circumstances – and are likely to change alongside market shifts and societal disruptions like a pandemic.

Monitor and adjust your strategy.

Krueger suggested that small business owners analyze claims data and participation rate in benefits programs to accurately gauge their effectiveness. Converse with your HR representative (if you have one) to get an important perspective on the evolving needs of your team and partner to continuously improve offerings. 

Keep enrollment simple.

If your employees don’t know certain benefits exist, they can’t take advantage of them. However, it’s not unusual for leaders to change existing benefit offerings or add valuable new ones without alerting their workforces. There’s Communicate about your benefits frequently and in all mediums so re enrollment instructions and dates don’t get lost in the shuffle. Make it easy to sign up and chart a clear path to help or questions about a given benefit.

Even for small businesses, the options are broader and more holistic than ever before – from professional development opportunities to self-scheduling tools and wellness programs.  Being willing to think flexibly about benefits will help close the gap between what employees are looking for and what you provide.

Perhaps Krueger said it best: A well-crafted benefits package is not just an expense; it's an investment in the success and longevity of your business through the satisfaction and productivity of your workforce.

This piece was originally published on AMEX Business.

2023 Business and Employment Trends for Small Business

While business is generally stabilizing and neighborhood institutions are finding innovative ways to stand their ground against larger competitors, concerns including inflation and stubborn supply chain disruptions continue to dog many owners.

According to the November 2022 Small Retailer Report from American Express Business Class, which surveyed 300 small business retail decision makers, most small retailers currently operate in both online and brick-and-mortar settings, and retailers view their brick-and-mortar stores as a place for customers to discover and try products, as well as for boosting brand awareness and recognition.

Creating an In-Store Experience

Small retailers are encouraging their customers to shop in-store and make their in-store shopping experience more social. According to the Small Retailer Report, 69% of small retailers have offered in-store shopping experiences or events in the last 12 months, and 74% hope to offer in-store shopping experiences or events within the next six months.

State of Kid is one of those retailers that values in-store shopping experiences. A hybrid concept that combines a boutique retail experience and enrichment classes for children ages 0-8, the store launched in late 2019 and now has three brick-and-mortar locations in South Florida. Founders Alana Oxfeld and Cheryl Gonzalez created State of Kid after moving to Miami from New York and Switzerland, respectively, and struggled to find modern parenting solutions that met their needs.

“State of Kid combines retail with experiential programming. Parents can shop while they bring their children in for art, music, science, cooking, and much more,” says Oxfeld. “We offer a highly curated selection of kids’ clothes and gifts that aren’t often found at major big box retailers or on Amazon. Additionally, we are known for our exceptional service and personal connection with our customers.”

The State of Kid owners have worked hard to make their stores appealing for kids and parents alike. “Our aesthetic is inviting and playful. Children generally leave our enrichment classes—from Tumbling Tots to Jam with Jamie—with huge smiles on their faces. That sense of fun extends into the retail space, and often families congregate long after the class has ended, continuing the party-like feel,” says Oxfeld.

Milk Room, a vintage, luxury streetwear and sneaker boutique with three locations in southern California, prides itself on its custom sneakers. Founder Greg Monterrosa provides a memorable in-store experience for customers by hosting fashion, art, and music shows at each location, and running a podcast.

“Milk Room is a true community,” Monterrosa says. “Our stores are run by local designers. When you walk in, you see local art and emerging brands, and you’ll catch a scent from a local candlemaker or essential oil maker.”

Standing Out From the Competition

The Small Retailer Report also found that small retailers plan to prioritize (46% versus 37%) the online shopping experience than the in-store shopping experience in the next six months. For small retailers that operate via online stores and e-commerce, 96% hope to enhance their online shopping experience within the next six months.

Although concern about competition from big box retailers and larger chains is high, ahead of Small Business Saturday small retailers are positioning themselves for competition through customer loyalty, their prices, and their specialty products.

The owner of Dallas-based Taco Ocho, Mani Bhushan, works hard to stand out from other local restaurants. When you walk in to Taco Ocho, you will probably notice the colorful walls painted by a local artist, Latin music playing in the background, and the smell of tortilla chips baking in the oven. Bhushan, who is in his seventies and still works shifts at his restaurants, opened Taco Ocho in 2011 and has been in the industry for over 40 years.

For the rest of the piece, check out AMEX Business.

Small Business Grows Amidst Inflation and Economic Uncertainty

 

Despite an uncertain economy and the toll of inflation, small businesses are growing their revenue, expanding their brand, and prioritizing their customers. 

Kabbage from American Express’ September 2022 installment of Small Business Recovery Report, which polls 550 small-business leaders and tracks the recovery trends and growth outlook of U.S. small businesses, presented some surprising and encouraging findings.

The report reveals that respondents nearly doubled revenue year-over-year between July 2021 and July 2022 while profits remained flat amidst economic hurdles such as inflation and supply chain disruptions.

In the previous version of the Small Business Recovery report, from June 2022, 80% of respondents said they were confident they could withstand a potential U.S. recession. The data from the latest report helps illustrate why small-business owners (SBOs) are so optimistic. Cross-analyzing the survey results between July 2021 and July 2022, the data shows U.S. small-businesses revenues have increased on average by 87%.

This trend is on point for Stefan Kalb, CEO of Shelf Engine, a grocery store forecasting business that results in more products on the shelves and less spoilage. “We’re one of the few fortunate businesses that prospers amidst economic challenges, as they create more demand for our solutions,” he says. “The grocery industry operates on razor-thin margins and needs every tool at its disposal to cut costs. That’s especially true now, as rising inflation means consumers are carefully watching every dollar they spend.” 

Managing Revenue When Costs Are High

Not every business is in as good a position as Shelf Engine, however. While overall profits among U.S. small businesses have slightly declined four percent, 75% of respondents report feeling impacted by inflationary pressures and 56% of respondents expect economic pressures to last through summer 2023. SBOs are doing their best to manage increasing costs.

Kristina Schlegel, CEO and founder of California-based food crafting company Make Bake, has noticed these trends in her own business. “We’ve definitely seen our revenue grow as we’ve expanded our wholesale business from 50 to nearly 200 retailers in the last 12 months,” she says. “But inflation in our supply chain has certainly cut into those profits. As a business, we’re also in that ‘messy middle’ – incurring more costs in product development, marketing, and trade shows to get to the next level as a brand. And it’s challenging to be in a growth phase of your business while your costs are rising so quickly.”

For the rest of the piece and the research report, check out the AMEX Business' website.

 

New Book from Barry Moltz Promotes Agility Among Business Owners

The following is a guest post from my longtime friend and colleague, Barry Moltz. Barry's new book (linked below) is a must-read for business owners emerging from the pandemic crisis.

My work with thousands of small business owners over the past 20 years inspired me to write about how to make changes.

Well, that is not exactly true. More accurately, my frustration and the resulting challenges working with small business owners forced me to write this book. Let me explain.

I’m often asked by many companies and small business owners I don’t know to help them. They are referred to me, hear me speak at an event, or find me online. Typically, they’re feeling stuck by a problem, and their companies can’t move forward. For example, their business growth is stagnant or worse—they’re either losing money or not making enough to grow their companies or be motivated to keep going. After analyzing the situation, if I agree to work with them, we mutually decide on a go-forward strategy. I help them assemble a detailed plan to make any changes and the critical success factors and actions that need to be completed. They agree that taking these specific steps will help them solve their issues, grow their companies, and make more money.

And then, almost nothing happens.

Unfortunately, most small business owners implement a few easy steps but never take the critical or difficult ones that could make a difference. This has long frustrated me since we worked hard to develop a well-thought-out plan and were both excited to see the result. While it may not work perfectly once it is put into action, I know the plan will move their companies forward from where they are stuck now. I also feel bad because they are paying me their hard-earned cash to help them, and we both had agreed on the actions they needed to take and the time frame they needed to do it in. In the past, I tended to blame the inaction on myself. Did they not trust me enough to take significant steps, or did I just give them bad advice? However, after doing the research, I realize I was not the main reason for their inability to change.

I wrote my new book, “ChangeMasters: How to Actually Make the Change You Already Know You Need to Make” to figure out why small business owners do not make the changes or take the actions that they know will help them reach their goals. Where is the gap between the sincere intent to make these changes and the actions to actually do it? What holds most people back and keeps them stuck on the same path over and over again? Why are they still so comfortable not making any changes and staying on the path that clearly does not work for them—one that is not adding to their happiness or feeling of success? What steps do they need to take to slowly break free and start to make those changes today that will help them in the long run?

In this book, I reveal much of the psychological research around why change is so hard for so many people and the real-life strategies that every small business owner can employ to make the changes they need to make in their companies right now.

It starts with:

Narrowing the one change you want to make.

Identifying how you are currently doing that now.

What is driving the change (emotional, financial, etc.)?

What will happen if you don’t make the change?

What is the smallest first step you can make to start that change?

I am not trying to convince you to make a change but rather help you make the changes you already know you need to make but have not been able to do.

Everyone Can Have Good Brand Positioning

Northwestern University Kellogg School of Management professor Philip Kotler made a career breaking down brand management into its component parts. His 2003 book Marketing Management defines brand positioning as the act of designing the company’s offering and image to occupy a distinctive place in the mind of the target market. Brand positioning is at the intersection of brand and product, and business owners must focus on both.

Why Companies Should Lead With Brand Positioning 

Simply changing an offering or releasing a new one may not be enough to affect purchase behavior because the customer has no reason to trust you. “Many companies put the product at the center of their organization. They lead with a laundry list of product features, and if the company has more than one category or wishes to expand, it can be tough to get customers to shop the whole brand,” says Sunny Bonnell, co-founder of branding agency Motto and co-author of Rare Breed: A Guide to Success for the Defiant, Dangerous and Different.

"Plus," Bonnell continues, "when product overshadows brand, the company is always at the mercy of the market.” By also considering the mark a brand’s image makes on a customer’s heart, effective brand positioning primes customers to view new and improved products as favorable and credible choices. “A better bet is to put your brand’s point of view at the center of the business. The brand is the emotional hook that ties everything together, superseding the product," she adds. 

“Brand positioning is essential because it captures your unique proposition, value statement, essence, aesthetics and appeal,” says Liem Le, CEO and founder of virtual community Little Lion. “Often, it may be your first interaction with the customer, and you want to make an ‘amazing, I can't look away and want to hear more’ first impression. It may be your only chance to ‘pitch’ your audience, so you can’t skimp.”

“Brand positioning that means something special and appeals to your audience creates tremendous value and can work wonders for your bottom line, employee morale and customer loyalty,” says Bonnell. “Strong brands are like a magnetic force. They draw people in and become revenue-generating machines, yielding benefits like ability to charge a premium.”

When they feel connected and close to a brand, customers are also more likely to accept product mishaps and foibles. This is why some argue that you perfect your brand positioning before you adjust an existing product or experiment with a new one.

For the rest of the piece, head over to the AMEX Business site.

Managing Your Data in the New Normal

Amid social distancing, stringent lockdowns and a second surge of COVID-19 cases, business owners can no longer rely on splashy launch events, mom-and-pop friendliness or a dynamite location to build customer relationships. Today, every business is competing for eyeballs and purchases made on digital channels.

Data-based approaches can help you stand out more effectively.

To successfully stand out, you’ll need to understand data optimization basics, including gathering customer information, responding to real-time feedback and reducing inefficiencies that lose revenue and diminish trust.

Gathering Customer Information

Data optimization commonly refers to collecting all the information at your disposal and maximizing the speed and comprehensiveness with which business-critical information can be extracted and analyzed.

If you have a website, this could be the most sensible place to start data collection. You likely have a handle on how many people are visiting and what pages they’re viewing, but are you using an analytics tool to assess where they are coming from, the content they spend the most time reading, and which page prompts them to leave? Do you know where your most active visitors live, how old they are and what products or services they most frequently purchase? These questions form the foundation of your business, and therefore are critical to your data-optimization efforts.

Feedback forms or emails are essential, but in today’s climate you’ll likely want to be more proactive about seeking out qualitative information about how customers value your offerings and their experience with your organization.

You don’t have to invest in a pricey or unwieldy customer survey to do this. Instead, try pushing a few questions to targeted visitors based on the defining characteristics above. You can also use analytics features embedded in the big four social media platforms (Facebook, Instagram, LinkedIn and Twitter) to ascertain what people are saying and the general sentiment around your brand.

If your customer relationships are rich with engagement points, CRM software can be a wise investment. These tools help monitor your interaction with current and potential customers, leverage data analytics to track customer history and details and suggest data-driven strategies to grow relationships.

For more where this came from, check out the full article at AMEX Business.

Effective Writing is More Important Than Ever

Good writing is infrequently considered a business skill, but when practiced, it can make everything from brand building to email marketing more effective. It's especially important now that businesses have been relying on digital channels to stay connected to their customers during the pandemic, finding themselves competing for attention with virtually every brand that has a social media presence.

Now is an excellent opportunity to hone your writing skills and craft a style that stands out in the era of social distancing — not to mention emoji, images and acronyms. 

1. Make your communication easy to digest.

Writing may not have been your strongest subject in school, and English might not be your first language—but as a business owner, your credibility depends on steering clear of grammatical pitfalls.

While you can absolutely take advantage of the “smart” features in word processors or presentation software to catch spelling and grammar errors, don’t rely on them exclusively. When in doubt about a word, phrase or sentence, check out online resources like Grammarly, 5 Minute English, FluentU and Grammar Girl.

If you’ve ever received advice for giving a memorable presentation, you might have heard this rule: “Tell them what you are going to tell them, tell them, then tell them what you told them.” This guidance applies to every form of written and oral communication. If you want your reader to absorb the message, share what you're about to say and why, explain the details and then summarize the key points.

Aim to get to your main idea quickly. Pretend you only have less than 30 seconds to sell a product to a just-browsing customer in a store, and make your document easy to scan with large headings.

2. Know your audience.

Your content and tone will vary depending on the target of your communication — for example, is your audience an investor, a customer segment or a group of frontline employees?

Think through what this audience wants to hear from you. What is this group worried about? What answers to do they need?

You may need to do some research via survey and interviews to determine where and how your audience consumes content. If your audience will be more receptive to certain messages and completely turned off by others, you want to know that before you start writing. A few questions to consider asking:

• Do people read an internal blog or e-newsletter?
• Are they on public social channels or is real-time instant message more their thing?
• Do they value expert advice?
• If they visit multiple channels, what would they most prefer to read on each one?
• Is there a particular type of content that your organization is best suited to deliver? 

Remember that your communication must strike a balance between what you need to say and what your target audience wants to hear. This is admittedly tough, so even if you are writing to a large population, it may help to imagine a single person reading the communication.

For the rest of my tips, head over to the AMEX Business site.

Becoming a Remote-First Organization

Companies looking to improve their work-from-home (WFH) productivity may want to adopt some of the principles of distributed work.

The most evolved version of work from home, distributed work refers to operations that are remote-first rather than office planned. Companies like WordPress and Zapier have been 100 percent distributed for years, with all of their employees — from their executives to HR to sales and marketing — working from their homes and offices around the globe.

Having entered this situation so suddenly, it's no surprise that many business owners have been winging WFH. But given that working from home and distributed workforces will continue even as we emerge from COVID-19, business owners can use the pandemic as a catalyst to permanently transform work for the better. According to a March 2020 Gartner survey of 317 CFOs, "74 percent of respondents said they will move at least 5 percent of their previously on-site workforce to permanently remote positions post-COVID 19."

Being strategic about distributed work demands a wider lens. Now is the time for businesses to adopt some of the principles of distributed to prepare for a remote-friendly future.

1. Get comfortable with managing remote teams.

To fully realize the benefit of distributed work, small-business owners must get away from a strong preference for employees to work onsite and use company space and equipment at scheduled times. If you only allow remote work in an emergency, you won't have the necessary infrastructure in place to support fully distributed work, and employee access will likely be slow and clunky. 

Being comfortable with distributed work requires trusting your employees. You can cultivate trust by stepping up communication and letting your people know you support them and are giving them the freedom to do their jobs when and how they feel it is most appropriate and effective. 

Boost your comfort level by tracking the productivity of WFH employees during the pandemic. You don't have to use software to record their every keystroke or micromanage their daily tasks — it's more about having a concrete idea of whether employees are achieving their goals as efficiently at home as they did in the office.

When it comes time to ease restrictions, seek employee feedback about an onsite schedule that makes sense. By using a survey tool or individual interviews to collect this information on a broad scale, you may find that some employees are more comfortable with returning to the workplace than others. This can help guide your decision regarding how distributed your post-COVID organization will be.

2. Embrace asynchronous work.

Accepting that closings will be long term, many companies have simply moved in-person activities online. Tools like Microsoft Teams, Zoom and Google Hangouts facilitate real-time meetings. Employees can access share drives, email and company applications remotely, but everyone is largely working the same hours whether they have distractions (e.g. children doing eLearning) or not.

On a recent podcast, Automattic CEO and WordPress founder Matt Mullenweg shared a secret for effective distributed work: a move from synchronous (everyone performs work tasks at the same time) to asynchronous processes (employees work on their own time). For instance, a synchronous process might require people to travel, sit in a meeting room and provide immediate reactions to an idea. An asynchronous process might involve presenting an issue via instant message, prompting team members to think through it in detail and then respond within a predetermined deadline.  

Organizations can shift to asynchronous processes by first evaluating whether set business hours are necessary, and if so, for whom (e.g. customer service staff). Consider how you might change your performance model to evaluate employees on the quality of their contributions rather than the time it took to produce them. For example, an agile performance management system relies on continuous feedback to establish, accomplish and reconfigure goals that align with business needs, and employees are measured on their progress against these goals in real time. 

When you stop relying on synchrony, you have the freedom to source talent across the globe. Think about assembling teams based not on who is geographically proximal, but who is best for the job. This way, you can move operations forward 24 hours a day as employees "pass the baton" to overseas colleagues.

For the rest of the post, head over to the AMEX Business site.

Are You Using These Retention Strategies?

Customer retention is the strategy of engaging customers so that they're motivated to continue purchasing from you. As a business owner, you may have tried many approaches to improve your business, but have you looked at your customer engagement efforts? While customer retention isn't an exact science, these innovative customer retention programs are worth a look. Just be sure to look at all strategies through the COVID lens of grace and sensitivity.

#1: Education

In a world where individuals are increasingly responsible for their own professional development, people will be grateful to your organization if you’re able to help them keep their knowledge fresh.

Education offerings can take a variety of forms, from online courses and podcasts to information repositories and access to subject matter experts. I know of a company that provides free sales and marketing training videos and certifications for customers and partners who want to grow their skills.

You can measure the success of customer retention programs involving education by tracking your Customer Retention Rate (CRR) before and after implementation, as well as ascertaining how completing educational initiatives correlates with repeat purchases.

#2: Pop-Up Engagements

"Surprise reciprocity" refers to the act of giving unexpected and delightful thanks to your most valuable customers in the form of a memorable gift or note.

Your offering need not be pricey if it's delivered with care and thought. Some of the best examples of surprise reciprocity are highly personal. If you run a toy store, you may send your customer’s child a handwritten birthday card with a free gift voucher enclosed. And if you have a pet supply store, you might send your customers a painting or cartoon of their beloved dog or cat.

Customer retention is the strategy of engaging customers so that they're motivated to continue purchasing from you. As a business owner, you may have tried many approaches to improve your business, but have you looked at your customer engagement efforts? While customer retention isn't an exact science, these innovative customer retention programs are worth a look.

#1: Education

In a world where individuals are increasingly responsible for their own professional development, people will be grateful to your organization if you’re able to help them keep their knowledge fresh.

Education offerings can take a variety of forms, from online courses and podcasts to information repositories and access to subject matter experts. I know of a company that provides free sales and marketing training videos and certifications for customers and partners who want to grow their skills.

You can measure the success of customer retention programs involving education by tracking your Customer Retention Rate (CRR) before and after implementation, as well as ascertaining how completing educational initiatives correlates with repeat purchases.

#2: Pop-Up Engagements

"Surprise reciprocity" refers to the act of giving unexpected and delightful thanks to your most valuable customers in the form of a memorable gift or note.

Your offering need not be pricey if it's delivered with care and thought. Some of the best examples of surprise reciprocity are highly personal. If you run a toy store, you may send your customer’s child a handwritten birthday card with a free gift voucher enclosed. And if you have a pet supply store, you might send your customers a painting or cartoon of their beloved dog or cat.

For the rest of my list, head over to the AMEX Business site.

How Entrepreneurs Can Use Supply Chain Finance

Supply chain finance, also known as reverse factoring, links the seller, the buyer and the financing party to improve business cash flow on all sides.

How Supply Chain Financing Works

In leveraging supply chain finance, suppliers sell outstanding receivables to financial institutions to accelerate payment of receivables and extend payment flexibility to customers.

Once the supplier sends an invoice to the buyer, the buyer confirms to the financial institution that the invoice is approved and the supplier receives payment immediately. When the invoice is due, the buyer pays the financial institution back.

Benefits for Buyers Using Supply Chain Financing

There are many benefits for buyers using supply chain financing, including increased liquidity, less contentious relationships with suppliers, decreased liabilities and consolidated finances.

Increased Liquidity

Buyers initiate reverse factoring so their suppliers receive more streamlined payments at lower interest rates. The process aids liquidity for buyers because they receive lengthier and generous payment terms.

Buyers also don't need to contend with early payment requests from suppliers. In the reverse factoring process, suppliers are already paid at previously agreed-upon, and typically faster, terms.

Less Contentious Relationships 

Supply chain finance helps the supply chain process run more smoothly and provides advantages for everyone involved.

In dealing directly with a supply chain funder (i.e. the factor), buyers can usually avoid payment disagreements with suppliers. When buyer/seller relationships don't deteriorate based on late payments or failure to pay, they can grow stronger and build trust, and are thus more likely to expand.

Decreased Liabilities

A business liability is money owed from past transactions that will require additional funds to resolve.

Buyers want to reduce liabilities so they can procure lower interest rates from lenders and maintain overall financial health. Using reverse factoring, the factor is on top of invoices and payments so buyers can focus on other things.

For the rest of the article, head over to the AMEX Business website.