Factoring companies can provide an innovative way for your business to immediately access its working capital. They provide immediate cash solutions, enabling you to get control of your cash flow. You determine which invoices to sell and when to sell them. Using your own assets, your accounts receivables, factoring companies provide your business with cash for expansion without borrowing. You simply supply the factoring companies with an accounts receivable aging report and your customers' credit limits. Factoring companies will determine the creditworthiness of your customers.
Factoring companies are commercial finance companies that specialize in the purchase of invoices for cash. The fees for this service are determined by the creditworthiness of your customers, the A/R aging report, invoice size and volume. Factoring companies provide over 100 billion dollars to industry each year and this service is now available to companies large or small, established or start up.
