FACTORING
A business advance collateralized by your outstanding invoices
Invoice factoring is a way for small businesses to take out a loan against unpaid customer invoices to quickly unlock funds from pending invoices for operational expenses and growth opportunities.
There is no commitment or impact on your credit by applying.
1.
How funding works:
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An invoice is a bill for goods or services already provided
Loan is paid off in monthly increments
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A business sells its invoices to a third party (the factor) in order to meet its current obligations
2.
Rates are based on:
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The invoice holder’s credit worthiness
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The length of time until the invoice will be paid
3.
Ask Yourself:
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Are you currently factoring any invoices?
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Do you presently have a need for additional cash flow?
4.
Required documents:
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Sample invoice
Accounts receivable aging report
5.
Good to know:
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We only factor business to business transactions
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Residual account; represents an ongoing relationship
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With factoring you have the chance to get paid for your invoices right away – no need to wait
There is no commitment or impact on your credit by applying.