Non-Recourse Invoice Factoring versus Purchase Order Funding

Posted by Chris on Feb 12, 2018 in Business Tools, Invoice Factoring, Non Recourse factoring, Purchase Order Funding | Comments Off on Non-Recourse Invoice Factoring versus Purchase Order Funding |

Non-Recourse Invoice Factoring versus Purchase Order Funding

By the number of calls we receive at BusinessCash.com, there is much confusion about Non-Recourse Invoice Factoring versus Purchase Order Funding. In this article, we will walk you through the steps of how each one them works. We will also tackle which type of companies each financing option applies. What is Non-Recourse Invoice Factoring? Non-Recourse Invoice Factoring is a financial agreement between your business and a factoring company for financing based on accounts receivables against cash. It is available to any company that bills...

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Notice of Assignment: A Step in the Factoring Process

Posted by Chris on Feb 11, 2018 in Business Tools, Invoice Factoring, Non Recourse factoring | Comments Off on Notice of Assignment: A Step in the Factoring Process |

Notice of Assignment: A Step in the Factoring Process

In understanding the Notice of Assignment’s (NOA) both concept and procedure, it is crucial first to understand what does invoice factoring mean. As well as how does it work. Invoice factoring also referred to as Accounts Receivable (AR) factoring. This is a type of debtor finance that grants you funding based on your invoices. It is a financial transaction between a factoring company and your business inducing that you agree to sell your AR to your factor at a discount. After setting an agreement, your factoring company will provide you...

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Recourse Factoring vs Non-Recourse Factoring: Making the Right Choice

Posted by Chris on Oct 24, 2017 in Non Recourse factoring | Comments Off on Recourse Factoring vs Non-Recourse Factoring: Making the Right Choice |

Recourse Factoring vs Non-Recourse Factoring: Making the Right Choice

When making decisions, a company should consider all the potential short-term and long-term impacts on the business, not only to keep surviving on the market but also to succeed, grow, and generate competitive advantages.  In the business world, it is common for companies to seek funding solutions continuously to smoothly run their operations, fulfill their orders as well as maintain and gain market shares. Traditionally, a bank loan is the first option to get additional working capital for a company. However, most companies are not eligible...

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What is Non-Recourse Invoice Factoring?

Posted by Chris on Feb 2, 2017 in Non Recourse factoring | Comments Off on What is Non-Recourse Invoice Factoring? |

What is Non-Recourse Invoice Factoring?

Non-Recourse Factoring or Factoring without Recourse is an agreement within a factoring contract. The factor’s client doesn’t have to pay back the factor if an invoice is not paid explicitly due to the bankruptcy of the client’s customer. Such invoice should be with credit protection in place. Factoring companies offer credit protection as part of a non-recourse program. What is Non-Recourse Factoring? How Non-Recourse A/R Factoring Works-PDF What are the Benefits of Non-Recourse Invoice Factoring? Credit protection against...

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Recourse vs Non-Recourse Factoring

Posted by Chris on Jun 3, 2016 in Business Tools, Non Recourse factoring, Recourse Factoring | 1 comment |

Recourse vs Non-Recourse Factoring

There is a great deal of information on the internet about recourse vs. non-recourse factoring. Much of it is wrong. When choosing a Factoring Company, you should understand what a factor is offering you. What is Recourse Factoring? Recourse Factoring means that if the invoice is not paid by your client by a certain date, the Factoring Company can charge that invoice back to you or you can replace that invoice with another good invoice. In some ways, recourse factoring is similar to a line of credit from a bank with a borrowing base as one of...

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What is Discount Factoring?

Posted by Chris on Dec 10, 2012 in Business Tools, Discount Factoring, Non Recourse factoring, Recourse Factoring, Spot Factoring | 0 comments |

What is Discount Factoring?

Discount Factoring, also known as recourse factoring, provides your business with versatile and immediate cash that will give you the funds to grow, restructure, take advantage of supplier discounts or even to fund payroll. Your company probably needs more cash flow to support seasonal demands, growth, and more. Many large well-known companies use discount factoring. It is less expensive than traditional factoring, but, like traditional factoring, it is less restrictive than equity financing, allows you to access cash whenever you need it...

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Is Cheap Invoice Factoring Available?

Posted by Chris on Dec 8, 2012 in Business Tools, Discount Factoring, Invoice Factoring, Non Recourse factoring, Recourse Factoring | 4 comments |

Is Cheap Invoice Factoring Available?

People who are looking to factor their invoices will probably have the same question: Is Cheap Invoice Factoring Available? Apart from the quick turnaround approval times and outright funding, what about the other side of the story? What about the fees that come along hand in hand with this convenience? What is Invoice Factoring? Before getting into the details, let’s first get into a brief overview of what Invoice Factoring is and how it works. Invoice Factoring is a financing option where you don’t have to worry about incurring more...

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Purchase Order Financing and PO Funding

Posted by Chris on Oct 30, 2012 in Business Tools, Non Recourse factoring, Recourse Factoring | 0 comments |

What is Purchase Order Financing and PO Funding? Is it applicable to your business? Factors have been offering this service to our clients in addition to our invoice financing product. If you are selling a product in its same state – let’s say you’re buying hard goods like t-shirts, cell phones, or steel. In this case, they can offer purchase order financing and PO funding. Many times it’s a product that is a consumer good. How PO Financing and Purchase Order Funding Works? PO funding works through a vendor guarantee,...

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Non Recourse Factoring vs Recourse Factoring

Posted by Chris on Oct 30, 2012 in Business Tools, Non Recourse factoring, Recourse Factoring | 0 comments |

Non Recourse Factoring vs Recourse Factoring. What does that terminology mean and how does it affect you? One of the best things about factoring is you can outsource your credit department. You can also outsource risk. If an invoice goes bad the factor can charge it back to you. Businesscash.com offers non recourse factoring. If your client files bankruptcy we have accounts receivable policy in place to protect you. It is ultra critical, depending on the quality of who you are selling to if you are getting non recourse or recourse factoring....

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Invoice Factoring-Factoring of Your Accounts Receivable

Posted by Chris on Aug 2, 2012 in Business Tools, Credit & Collection, Non Recourse factoring, Non-Recourse Accounts Receivable Factoring | 0 comments |

Invoice Factoring-Factoring of Your Accounts Receivable

One of the more perplexing issues in business ownership is that as business sales decrease, cash flow gets better (in the short term). You put out less money now as the accounts receivables are collected from previous robust sales. However, as times get better and sales increase; labor and materials need payment, for now, accounts receivables balloon and a new cash crunch begin. In this situation, Invoice Factoring or the Factoring of your Accounts Receivable can help. Accounts receivable financing through invoice factoring allows you to...

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