Accounts receivable factoring also known as asset based lending is where factoring companies make cash advances on invoices. Based on the total invoice value to your creditworthy customer, a wire transfer advance is made to your business bank account. Unfortunately for the factoring company, business owners seldom even know this type of financing is available. Many small business owners have never heard of factoring and are unsure how it works. Using account receivables to provide working capital for company operations is an extremely useful tool. It’s easy to obtain and flexible to use. Given the right set of circumstances it can be the best tool available. So let your business associates know that factoring is something which might help them grow to the next level.
We are here to help you through the process. Call or write for assistance.
If you would like to read further about factoring, click here.