Value of Non-Recourse Factoring During an Economic Downturn

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Value of Non-Recourse Factoring During an Economic DownturnBusinesses in all different industries are being affected by the ongoing shut-downs.  Not only has business slowed for many, but customers are taking longer to pay.  Whether you are a factoring veteran or you are new to invoice factoring, you’ve discovered how it can solve your cash flow issues.

However, an advance on your receivables will only benefit your cash flow and overall business if you get to keep that cash.  Unless you are using non-recourse factoring, you are at risk of having to pay the advance back to the factoring company should your customer have financial issues and not pay.  Increasingly late payments are one sign of a possible impending bankruptcy. Read more

How Does Invoice Factoring Affect Your Customers?

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How Does Invoice Factoring Affect Your Customers?If you’re looking into financing solutions for your business, you may be considering invoice factoring, a process that lets you collect payment on invoices immediately, so you don’t have to wait for clients to pay. Factoring has been around for quite a while but there’s still a shroud of mystery surrounding it, at least for those who haven’t researched it. One area of concern that some businesses have involves the way invoice factoring affects customers. Let’s explore some common concerns so you understand the process a little better. Read more

Tired of Late Payments? 4 Tips to Get Paid on Time

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Tired of Late Payments? 4 Tips to Get Paid on TimeFor a business that depends on invoice payments rather than cash purchases, late customer payment can be anything from an annoyance to a disaster. According to some estimates, as many as 60 percent of invoice payments are late. When you have regular expenses such as payroll to meet, this can cause serious problems for your cash flow situation. The following are some tips to protect yourself from late invoice payments and enjoy better cash flow.
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How Much Does Factoring Cost?

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How Much Does Factoring Cost?One of the most frequently asked questions about factoring is one of cost.  While pricing can be simple and straightforward when an all-inclusive model is used, there are variations in factoring services to consider because not all factoring programs are created equal.  Here we will discuss the main program differences that affect a factoring fee, also known as the “discount rate”. Read more