After many, many months of seeing customers struggling mightily through the pandemic, we couldn’t be more ready to celebrate. Crowdz is thrilled to share that we’ve hit the $38 million mark in funded invoices! That’s $38 million towards supporting small business growth, new opportunities, and growing teams that wouldn’t exist otherwise. COVID-19 showed us just how vital alternative funding options are. So here’s a look at how our community of sellers is making the most of the head start as they aim to restart, recover, and thrive.
As cash liquidity declined across multiple industries, meeting financial obligations became a massive struggle for small-to-medium businesses (SMBs). Enter Crowdz. We turned stacks of outstanding invoices into cash that companies could put towards expenses like rent and payroll. Not only did this keep sellers from falling behind on bills, but it also curbed additional debt, balances with back pay, and service interruptions.
The uncertainties brought on by the coronavirus crisis made the need for emergency savings more relevant than ever. But how does an SMB build a cash cushion when grappling with day-to-day business expenses? A regular and reliable cash infusion. Selling invoices on Crowdz meant businesses could add money to their reserves without compromising on their current bills. So when their cash flow came to a grinding halt after multiple restrictions and lockdowns, our members were prepared.
With the pandemic came a revamp of how SMBs approach their cash flow and expenses. One way for owners to adapt on the spot was through Crowdz’s invoice auction. The process of invoice financing (more on that here) can continue to serve as a work-around for funding after the virus threat subsides. In addition, having Crowdz as an ongoing option means businesses can plan for hiccups like seasonal operations, a slope in sales, or late payments. In a nutshell, it’s a route that provides more confidence and control.
Not getting paid for months is stressful. Chasing clients, working with uncertainty, and enduring a setback can send anyone into a mental breakdown. And yet, it’s a difficult reality for many SMBs. Crowdz helps alleviate the seemingly unending string of follow-up calls and emails that too often cost valuable time and energy. And—most importantly—prevent a late-paying client from derailing your business from moving forward.
Many SMBs quickly implemented novel business practices in reaction to the pandemic shaking up, well, just about everything. We’ve seen clients learn new skills to support a change in their model, upgrade their technology, and expand safety measures, and much more. Immediate access to working capital through Crowdz provides the funds and time to make it happen. And since our invoice marketplace is always open, small and mid-size businesses can continue to adapt in real-time after the recovery stage.
Crowdz is proud to have helped SMBs not only stay open but thrive during the crisis. From building up their teams to taking on new contracts, $38 million in funded invoices has enabled owners to push for growth. What’s more, it’s allowed them to adopt the business innovations needed to pivot: think digital systems, creative delivery methods, and financing alternatives to loans and government funds (to name a few). The change has been so impactful that tools previously thought of as a secondary approach are likely to outlast the pandemic itself.
Funding $38 million invoices was a massive win for our team and the small businesses we serve. The trickle-down effect on their local communities, such as more jobs and increased city revenue, is one more big reason to celebrate. We’re definitely proud of this milestone and pumped to take on the next 38! For those SMBs looking to learn more about Crowdz and selling invoices on the platform, check out our article on invoice financing and an overview of our marketplace. All ready to join in? Click here.