Understanding Factoring Rates

Posted by on Jan 24, 2016 in Alternative Financing, AR Funding, Discount Factoring, Government Factoring, Staffing Factoring | 0 comments

What is the key to Understanding Factoring Rates?  Many business owners attempt to compare APR interest rates to invoice factoring rates. The problem is twofold. One, the best factoring company’s rates include Accounts Receivable Management, Credit Services and Credit Protection and two, a bank only helps the most creditworthy company with typically 3 years of proven profitability. We now explain the basic factoring process in simple terms for you to understand how it works and what it would...

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Rapid Growth Funding through Non-Recourse Accounts Receivable Financing

Posted by on Nov 21, 2015 in AR Funding, Business Tools, Non-Recourse Accounts Receivable Factoring | 1 comment

Steady or fast growth is the primary goal of any young business owner. When and if those growth opportunities arise, do you have the resources in place to move forward? It may not seem like it, but growing too rapidly can be a death blow to a young company. Most young companies lack the experience, planning ability, and insight to properly navigate rapid growth. As you know cash is King, and most start-ups are not flush with working capital. You may currently have a line of credit with a bank,...

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Bank Factoring

Posted by on Jan 22, 2013 in Alternative Financing, AR Funding, Working Capital | 0 comments

The Benefits of Outsourcing Bank Factoring The nature of bank lending practices often puts bankers in the position of having to turn down a business loan application – even from a current client – because the client’s balance sheet is overextended, it does not have any further available collateral to increase its line of credit, or for other reasons. Often, bank clients may wish to use invoice or receivables factoring as a way to raise additional cash for working capital, business...

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Is Factoring Expensive?

Posted by on Aug 24, 2012 in AR Funding, Business Tools, Invoice Factoring, Spot Factoring | 1 comment

Is Factoring Expensive? This is a great question and the answer is…. Maybe, if not used correctly. It can be expensive if not utilized correctly or it can mean the death of your business if factoring is not available. Death would seem to be the highest expense possible. How do you use Invoice Factoring correctly? You use it to grow your business or save your business. Versus a line of credit from a traditional lender where the amount of money you can access is based on your...

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What is AR Factoring?

Posted by on Jun 1, 2012 in AR Funding, Business Tools, Non-Recourse Accounts Receivable Factoring | 0 comments

AR Factoring or Accounts Receivable Factoring is the selling of your Invoices to a Factoring Company. It is not a loan like a line of credit from a bank but the sale of an asset (Your Invoices) to a third party Invoice Factoring Company. Many terms and abbreviations are used to describe the same transaction: AR Factoring, AR Funding, Accounts Receivable Financing, Invoice Factoring, etc. However, they all mean the same thing. Versus waiting 30-60 days to get paid by your creditworthy client, an...

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