We often hear new clients say “someone suggested we look into factoring our receivables but we don’t want our customers to know about it.” Or, “can you do opaque factoring?” The simple answer is, no.
In the current lending environment there are many businesses looking for working capital. A lot of them we have to turn down for one reason or another. Having a business that does qualify for commercial financing is a positive step in the right direction. It shows your business has developed in such a way to be approved by an outside source of capital, which is a strong statement in a company’s overall growth.
Receivable financing is not a sneaky arrangement, in the same way business with your customers is all above board. Treat it as a normal course of business and your customers will respect your ability to use financing to grow your business.