Accounts receivable factoring companies provide business financing by making advances on your creditworthy commercial (non-consumer) customer invoices. The invoice is defined as a product and/or service work that has been delivered / completed (100%) and accepted by the customer. Unless the invoice is due and owing by the customer it is not acceptable for the advance.
So in other words;
– Factors cannot provide up-front capital to open a restaurant
– Factoring is not for any type of retail store that sells to consumers
– Loan situations related to real estate property are unavailable for factoring
– If you are a sales agent or person who wants money in advance of future commissions – there are a few specialty places that do that, but generally commissions are not “invoices”.
– Start-ups who have a new contract but need up-front money to get it going will not qualify until they actually can produce an invoice
– Factors don’t cash out annual contracts (money today for funds that will be collected over the next year)
– No equipment purchases, no inventory financing, no proforma or pre-billing
– And most of all factoring companies will definitely not pay to help a relative of a deposed government official from a foreign land.
To sign up and get started click HERE.