Factoring is a well established alternative means of securing financing for small business. Essentially, invoice factoring services arranged by Factored Business Finance allow you to sell your invoices to a party known as a factor. You receive the bulk of your money in just a few days. After all invoices have been paid, the factor pays the rest of the sum minus their fee. Instead of waiting 60 days or more for money that is owed to you by clients, you could have the funds you need in 10 days or less. Factoring allows you to circumvent the red tape and foot dragging associated with traditional banking. Advantages of factoring include:
- Get your funds in 2 to 10 days
- Easy application process
- No release of equity or control
- Not based on applicant's credit score, profitability or asset value
- No ongoing monitoring
There are a few forms of factoring including purchase order, business invoice factoring, and merchant cash advances. All allow businesses to access their cash quickly.
Factoring is used by companies of all types and sizes. Business invoice factoring is probably the most widely used. It allows companies to cover operating expenses, lets medical offices to purchase new equipment, and gives small businesses the capital to take advantage of sudden opportunities for expansion. Moreover, Factored Business Finance can connect you with the invoice factoring services you need to stay competitive. Contact us today to learn more about your options or start the process of securing your financing by completing our online application.
