Factoring - Service/Professional





	Factoring Service/Professional When a company makes a sale or gets a contract to do business with another company, more often than not, it is forced to extend credit for that sale. This fact alone is the number one reason businesses of any kind fail to remain afloat and grow. What is Factoring? Simply stated, factoring is the purchase of accounts receivable from a business at a discount. It is NOT a loan, it is a discounted purchase. A factor (also called funding source) does not charge interest, it buys your invoices for a fee. By factoring your invoices, you are able to collect money owed to you immediately and maintain a continuous flow of cash. How Does Factoring Work? When you sell your invoices to a factor, the factor will advance between 60% to 90% of the money owed to you. The other 10% to 40% will be placed in a reserve account to cover for any non payment that may occur. When your customer pays the invoice, the factor will rebate (return) the remaining balance minus its fee. The beauty of this process is that it gives you a lot of flexibility. You don’t have to sell all your invoices. You don’t need good credit, since the factor is looking at the credit of the company paying the invoice. You don’t have to take a loan or line of credit since this is YOUR money. As long as you are invoicing on a regular basis, and working with regular banking institutions is not an option, factoring can be the perfect solution. If lack of working capital is keeping your business from growing, we urge you to contact us now for a free consultation!	Conserve your credit line by leasing your equipment! WE CAN HELP>>> CASH in today on your structured settlement! FIND OUT HOW>>>









Overview \| Benefits \| Resources \| Contact Us \| Home \| Pricacy Policy