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Invoice financing is a popular method of improving cashflow for many new and small businesses. Financing agencies help business owners improve their short and long-term cash flow. Rather than waiting for the consumer to pay, a company can sell their invoices to a professional financing group who will then receive the payment from the consumer. There are many pro’s and cons to working with the professional invoice factoring companies. If you own a business, you should look at both the pro’s and cons of financing your invoices to see if it is right for you.

Pro’s:

• As a business owner, you have an instant and steady cash flow so you do not have to wait for the money. With an improved stream of incoming funds, you can buy your supplies at reduced, bulk, or sale prices rather than paying full retail or higher costs.
• A steady stream of money means you can plan your next investment opportunity, business building venture or expansion project.
• A consistent flow of money coming into the business also means that you will have the means to always pay your staff and bills on time. This reduces the stress of trying to budget your money so you can focus on other parts of the business.
• Invoice financing can also help you get through seasonal fluctuations when business is slower and there is less money coming in.
• Financing agencies run credit checks on consumers and will inform you if someone has a poor credit history. You can be alerted to their rating before doing business with them and decide beforehand if you want to do business with someone. For an additional fee, some agencies offer debtor protection so you do not have to worry if the invoice does not get paid.

Cons:

• You will not receive the full invoice amount because you will have to pay a percentage of the invoice to the financing company as a fee for their service. The fee amount you pay will depend on the agency and amount owed on the invoice. This additional expense will cut into your profit margins.
• Some big corporations frown upon using invoice financing. If you are trying to form a partnership with another corporation, using a finance agency could interfere with your business plans. A partnering business that prefers traditional lending institutions might choose to wait until you secure funds with a bank before settling into a partnership.
• Selling your invoices to another company does not guarantee that the consumer will pay. If you do not have debtor protection and the consumer does not remit payment, you responsible or the amount owed to the financing agency. If you do not pay the invoice, a collection agency will be involved.
• Some companies become very dependant on invoice financing options so they never learn to manage their own finances. This could be damaging long term because money management is a significant part of running a business.
• You might be restricted in your business dealings. If the finance agency does not feel that someone is a good client, you could lose out on a great business transaction if they refuse or restrict your dealings with that consumer. Paper trails are important, but they do not always tell the whole story.

As a business, you lose communication with customers because the communication is transferred to the invoice financing agent. This will affect your relationship building and company growth.

Invoice financing has many benefits for business owners, but, like everything, it is not without its risks. Before jumping into any agreement, do your research, ask questions, have a plan, and talk to a consultant first to see if it is right for your company.

Personal cooling vests are products that are especially designed to help both workers and athletes stay cool when the weather heats up. These types of clothing lower body temperature and allow construction workers and runners function in hot climates or environments. In addition to workers on construction sites and paving crews, they help everyone from athletes to people suffering from illnesses and diseases including multiple sclerosis keep their body cooler, even when the heat begins.

❔ Question 1: Are there different types of personal cooling vests?

Yes. There are a number of different types of personal cooling vests that are designed for specific purposes. They come in a variety of weights and sizes and some personal cooling vests are lightweight to allow more movement for athletes while industrial sized personal cooling vests are often found in mining and smelting operations. They range in weight from two to eight and there are five main types of personal cooling vests, with several sub-types to meet certain needs.

❔ Question 2: How do personal cooling vests work?

The first type of personal cooling vests is called an evaporative personal cooling vest. It works by being submersed in water from three to five minutes. Then it is wrung out lightly or blot dried. It is outside the clothing and as the water in the personal cooling vest interacts with specially treated cooling crystals or other cooling agents and the water evaporates, a person’s body temperature goes down.

Ice chilled personal cooling vests utilize ice to bring temperatures down. They use cooling energy packs that are activated in a freezer and then placed in pockets inside of the device. Phase change personal cooling vests use energy packs that are placed inside a refrigerator or freezer and then put in the pockets of the vest. These packs contain liquids that solidify like wax between 14 and 18 degrees. They are good for short-term cooling because they only last between one and a half and three hours.

❔ Question 3: What kind of personal cooling vests are used in construction?

There are a couple of types of personal cooling vests that are very effective for workers in construction and industries. They can provide consistent and continuous cooling to minimize heat stress and increase worker productivity in hot environments.

The personal cooling vests they favour in construction like road work must allow them to have a full range of motion to do their work. In high heat environments like a welding shop, they often wear their personal cooling vests under welding leathers or protective clothing. In construction work, they might wear personal cooling vests during the hot summer months when performing work like laying foundations or paving work. In addition to construction and paving work, personal cooling vests are also effective for many other workers. That includes people working in everything from foundries to power plants, and asbestos and hazardous waste removal.

❔ Question 4: What kind of personal cooling vests do athletes use?

Marathon runners and many other athletes often use lightweight athletic cooling vests that are first frozen and then worn against the skin. They are designed to allow the athlete to effectively run or participate in a game like soccer or football even when the temperatures are soaring outside. Other athletes use a cool water flow cooling vest that pumps water through the vest using hoses. There is also a thermoelectric cooling vest that works on peltier effect by cooling down the inner surface of the personal cooling vest. It is a bit awkward for runners however because it is a bit heavier than other personal cooling vests and is powered by a portable battery.

❔ Question 5: What about people who suffer from heat-sensitive illnesses?

Personal cooling vests are also very effective for people who suffer from multiple sclerosis. They are in constant pain and discomfort because their nerve fibers become demyelinated. The pain increases when the temperature is elevated. Personal cooling vests can keep their body temperature down. That reduces the symptoms and the pain. In 2015 there was a study at the University of Buffalo that found that personal cooling vests were an effective tool for many people who suffer from multiple sclerosis.