If the 2012 holiday season is any indication of how small businesses will fair in the New Year, owners might breathe a little better as 2013 approaches. According to comScore, online spending topped $US1 billion for the first time on Black Friday. This holiday season, many larger retailers went into overdrive during the holiday season, hiring part time workers by the thousands and expanding business hours to 24 hours to accommodate families with two jobs and challenging working schedules.
FedEx expects to ship a record 280 million packages in total in the Christmas period. It all started when Wal-Mart had more than 20 million visitors on Thanksgiving Day. Then, on ‘Black Friday’ alone, the company registered 10 million cash register transactions in only four hours.
Amazon.com’s sales are slated to reach $US22 billion during this holiday. Believe it or not, overall Internet sales numbers daily, led by the $US1.5 billion haul on Cyber Monday, more than 40 percent of the 2011 e-commerce spending over the same time period.
What would seem as better news for everyone is this news of consumers purchasing both online and offline is what the economy needs to lead to more jobs and therefore more overall spending.
Although many people still prefer to see and touch products before they buy them, the enormous surge in online sales is causing concern among retailers who are small to medium sized enterprises (SMEs), because data is showing the size and speed of the trend towards online shopping is a trend here to stay.
Invoice discounting for small businesses has existed for many years. Only a small fraction of small businesses understand and use this valuable tool to help during periods of growth or when cash flow is constrained due to late payment by customers. Understanding alternative funding can help. It requires education of small businesses and those who have regular contact with small businesses that can help in outlining alternatives.
For more information about invoice discounting for small businesses, call The Interface Financial Group (IFG) at 877-210-9748.