Small business factoring

Small Business Factoring of Accounts Receivable - as a short-term solution or a permanent business finance tool can give a company the extra cash it needs , to meet payroll, add sales, pay suppliers, or meet just about any obligation.

Who can use Invoice Factoring? : Factoring services are used in just about every industry including but not limited to staffing agencies, trucking companies, service providers, distributors, manufacturers, apparel, packaging and others. Mainly clients in the business to business marketplace.

What documents are required for setting up an account?: Typically items that are going to be required are Articles of Incorporation or DBA, the application, and invoices for services or products already performed. Additional documents are required for trucking companies like insurance certificate and MC authority.

Does your business need Cash Flow Now: When a business needs cash today, an extra day can make all the difference. Our entire business process is built around immediate response to client needs, and the fastest cash turnaround in the industry. Regardless of your company\'s credit history or lack of operating history, our decisions are based on the strength of your customers rather than on the financial strength of your business.

Flexible Accounts Receivable Factoring Programs: Flexible service, simple applications, no set-up fees, and no long-term contracts make our factoring programs the most flexible in the industry. You receive the same professional attention and fast cash deliveries whether we manage a few of your invoices or all of your invoices.

What needs to be done before clients can be factored

1. Complete a short application.:

2. Once received, the application will be reviewed immediately. Upon approval, you will receive a proposed letter outlining the terms. When in agreement with the terms of the proposal, the package will be sent overnight. The forms should be properly filled out and returned. Due diligence (searches) usually takes 3 to 7 working days.

What are the searches?:

1. State and County- Uniform code liens

2. Credit reports

3. Judgments and pending litigation

4. Tax lien Searches

5. Criminal searches

How to Submit your invoices:

1. You send the original invoices with proof of delivery or performance. The goods must have been delivered or service performed. You will need to mail one copy and one original invoice to the us.

2. The invoice is verified and then the advance is funded, typically 80% to 97% of the invoice. Funds will be advanced following verification of the invoices. This is usually completed the same day that they are received. The balance of the advance is called the "Reserve". The reserve is held back until the customer pays the invoice in full.

3. Payment of the invoices are made directly to the us from your customers. Once received, the reserve is paid to you minus the discount fee.

4. At your option, the funds are sent via wire transfer, ACH or check.

5. Credit approval for new accounts is easy. All is needed is the name and address of the customer.

Benefits of Accounts Receivable Factoring as a short-term solution or a permanent business finance tool can give a company the extra cash it needs when it needs it, to meet payroll, add sales, pay suppliers, or meet just about any obligation.

Eliminate the needs for SBA loans. Factoring does not require financial statements, Balance sheets nor great credit score. You can apply today and be approved the same day. Bank loans require months to get approved, collateral to pledge and 2 years minimum of positive cash flow financials.

Unlimited Funding Factoring accounts receivable does not have a credit limit like a bank loan. The more you sell, the higher your credit line becomes. Factoring establishes credit limits with your customer\'s ability to pay, not your business. For example. If you are a small distributor that averages $50,000 a month in sales. You would not be limited to sell $50,000 a day to credit worthy customers so long as they have the ability to pay. We would fund your invoices within 24 hrs of delivering your products or service.

Other Benefits:- Businesses that are experiencing cash flow problems due to growth, slow paying accounts or starting out with limited working capital can benefit with our factoring programs

Would your business benefit if all your customers paid cash on delivery with a minimal discount fee? If you answered yes to this question, then you would benefit by factoring. Factoring creates your accounts receivable to cash transactions with a discount fee similar to credit card transactions.

Receivable Factoring of Accounts as a short-term solution or a permanent business finance tool can give a company the extra cash it needs when it needs it, to meet payroll, add sales, pay suppliers, or meet just about any obligation.

Does your business need Cash Flow Now! - When a business needs cash today, an extra day can make all the difference.

Receivable Finance Credit Line A Factoring Credit Line is the selling of interest in your invoices or receivables to factor at a small discount.

In fact, it is an old financial service used by multi-billion dollar corporations that is now available to smaller sized businesses, to whom banks are usually reluctant to lend funds to. Factoring financing is a tremendous void that banks have created.

The Invoices to your customers for goods delivered or services rendered can be converted into a "Credit Line" from which you may draw cash to better manage your business. Draw only as much as you need and pay only for what you use

Factoring is a fast, easy and flexible way to improve your cash flow and generate working capital for your company. Through the power of factoring you obtain immediate access to cash that is normally tied up for terms of up to 30, 60 or 90 days in your accounts receivable. This increased cash flow allows you to take advantage of growth opportunities, early pay discounts, reduce debt or cover operating expenses.

Unlike a traditional loan, factoring does not add debt to your balance sheet, and there are no loans to repay. By selling (factoring) your accounts receivable to a factor rather than borrowing from a bank, you simply convert one asset (accounts receivable invoices) into another asset (cash). You can factor your accounts receivable with a factoring company to improve your cash flow or help to accelerate your growth. There are no lengthy applications or loan committees, and typically no financials or tax returns are required. Factoring can be short-term or part of an ongoing financing program. New companies can benefit as well, since there is no requirement for a long-term credit history.

Conclusion: Factoring is one of the oldest and most powerful cash flow and management tools available to businesses today. This is because the most important aspect of the transaction is not the credit-worthiness of your company; it\'s the credit worthiness of your customers, this is why factoring can help start up companies as well as seasoned companies. So, factoring is a fast, easy and reliable financial transaction that allows you quick access to your working capital that is based on the financial soundness of your customers