How invoice factoring works, and how it can benefit you.
Invoice factoring is the purchase of accounts receivable for immediate cash. Invoice factoring gives businesses the power to ensure growth without diluting equity or incurring debt. After invoices are submitted and verified, they are funded by Riviera Finance within 24 hours.
Learn more about invoice factoring and how it works by watching the videos below. If you still have questions, please contact us so you can speak with one of our invoice factoring experts.
What is Factoring
How Factoring Works
How Invoice Factoring Works
Once you’re a Riviera Finance Client, it’s easy to factor your invoices (receivables) for immediate cash. It works like this:
1. We establish a credit limit on the customers you submit for invoice factoring.
- Tell us their business name, address, and amount you need
- We pull credit and establish a limit without delay
- On smaller requests, get instant credit online with FastCredit
2. You deliver your product or service as usual.
3. You send or deliver your invoices directly to Riviera.
- Use our simple form to summarize and calculate the amount
- Attach the proof of delivery you usually send to your customer
4. We verify that product was received or service performed.
5. You receive your cash from Riviera.
- We wire funds into your bank account within 24 hours
- We retain our agreed fee for service
6. We forward your invoices to your customers and they pay us directly.
It’s really that simple. And you can monitor the status of all your transactions online 24/7, on a real-time basis, through our ROAM system, at no extra charge.
How Riviera Finance Invoice Factoring Can Benefit Your Company
The benefits of factoring invoices with Riviera Finance really boil down to adding profit to your bottom line. Before you factor, make sure you can take advantage of the features of invoice factoring and leverage them into value:
Take on Additional Business
Most of our invoice factoring clients can do more business if they have better cash flow. How this works depends on your industry and your market. Some real examples are:
- Improving or increasing marketing
- Saying “yes” to customers who demand credit terms
- Investing in income-producing assets–people and equipment
- Eliminating supplier constraints
- Shifting manpower from collection to marketing and production
Many of our invoice factoring clients actually reduce expenses by outsourcing credit and administration to Riviera, and by leveraging their healthy cash position. The most common ways include:
- Eliminating bad debt with Riviera’s credit guarantee
- Reducing collection and administrative expenses
- Receiving cash discounts from suppliers
Improve your Financial Conditions
Factoring invoices for cash enables some businesses to “get current” or reduce strains caused by tight cash flow. It also improves their own credit rating. Here are some examples we frequently see:
- Staying current with suppliers and creditors
- Establishing payment terms with suppliers, further improving cash flow
- Meeting regular payroll obligations
- Bringing payroll taxes current
How can your company benefit by factoring invoices with Riviera Finance?
Every company has a unique situation. Before signing up to factor, it’s important to estimate how our invoice factoring services can increase your business, reduce your expenses, and improve your financial situation. Call a Riviera Finance representative or request information, and we can help you answer these important questions.
Ready to work with Riviera Finance? Get a Free Quote Today!