FAQ: Frequently Asked Questions

When a business needs an alternative option for financing cash flow, invoice factoring can be the solution. A factoring company provides cash to businesses while they wait for customers to make payments, allowing them to continue operating as usual with cash in the bank.

When new companies are experiencing rapid growth, they may not always be able to secure traditional loans or lines of credit. Because factoring is based on accounts receivable (and not credit history), companies can get access to the cash they need fast.

Businesses submit unpaid invoices to the factoring company, which then advances money to the business against qualifying invoices, enabling the business to assume normal operations.

Any invoice that is due from another company to a business could be considered for factoring. The invoice must be unpaid and current.

Factoring clients continue their regular billing and collecting operations and account debtors submit accounts receivable payments directly to the factoring company.

Fees vary and depend on a number of factors. Please reach out to our team for fee information related to your specific business.

Invoice factoring gives businesses access to greater amount of funds than what would be available through a loan or traditional line of credit.

Unlike traditional loans or lines of credit, invoice factoring canprovide money to businesses within 24 hours. While this may not always be the case, businesses can expect to receive the funds they need much faster than any other credit or loan alternative.

Invoice factoring is a widely used service that many companies depend on to keep cash flow moving and their business thriving. There’s a good chance that your customers are familiar with invoice factoring, and may even use it for their business.