A benefit associated with invoice factoring is the off balance sheet nature of the financing. By making advances on invoices the transaction with the factoring company does not appear as a loan or net long term liability. Thus the strategic necessity to keep the liabilities down to improve the balance sheet is maintained. As each [...]

With regards to invoice factoring and the assign ability of government contracts, typically the contract will state that the work to be performed cannot be assigned to another party, but rarely will the contract preclude assigning the proceeds (payments) of finished work to a third party, like a factoring company. Using a factoring company to [...]

With invoice factoring, like all other types of commercial credit, you are rewarded when the company is well run and business owner is organized. When a business is seeking to put together their accounts receivable financing, if their accounting is in place, their profit margins are known, the personal background is clear, and they have [...]

Invoice factoring also known as accounts receivable financing is one of the best kept secrets for commercial business financing. With all the types of financing available the concept of factoring accounts receivables for operational cash flow is still not widely considered. The transaction is very simple to set up, flexible to use, and becomes a [...]