Top Ten Reasons for Factoring

Here is our top 10 list as to why you should consider factoring as your funding solution:

1. CASH IN AS LITTLE AS 24 HOURS
Factoring provides you with the ability to meet your CASH FLOW NEEDS IMMEDIATELY!

2. NO DEBT CREATED
Loans require collateral limited by your hard assets. Factoring is NOT a loan, so there is no debt to repay. A factoring company purchases your invoices at a discount. This enhances the financial ratios often used to determine your credit worthiness in obtaining other types of financing. Your balance sheet is more attractive and your financial position is strengthened.

3. HIGH ADVANCE RATE
We provide Higher Advance Rates which means you factor fewer invoices to meet your cash flow needs, which also means YOU WILL SAVE MONEY!

4. NO FINANCIAL STATEMENTS REQUIRED
In many cases, no business or personal financial statements or tax returns requested. Clean personal credit is not required.

5. PROFESSIONAL COLLECTIONS
Factors handle collections in a professional manner. Factors are not collection agencies. They understand the importance of business relationships and treat each debtor as though it is your best customer. Factoring companies SPEED the collection of invoices and reduce your collection cost. You can eliminate the overhead cost associated with having someone internally handling collections.

6. INVOICE PROCESSING MADE EASIER
You can greatly reduce your cost of processing invoices because factors handle much of the work.

7. ENHANCE YOUR CREDIT
Once you begin factoring, the increased cash flow will provide the liquidity to pay your venders on time. Making timely payments to vendors positively affects your credit rating and allows you to obtain credit from other vendors and financial institutions.

8. INCREASED PRODUCTIVITY
Business owners often spend more than half of their time on duties they do not find productive, such as collections, administration, bookkeeping, warding off creditors and searching for additional capital. Factoring helps eliminate this wasted time.

9. REDUCE ACCOUNTING COST
You will receive information regarding outstanding and paid accounts on regular basis.

10. NO LOSS OF BUSINESS EQUITY
Ownership percentages remain unchanged with a factoring arrangement (unlike bringing in new partners with capital).

More benefits of factoring:
	Reduce Bad Debt
	Offer extended Credit Terms to Customers
	Meet Increasing sales Demands
	Take Advantage of Early Payment Discounts from Suppliers
	Take Advantage of Volume Discounts from Suppliers
	Stop Offering Substantial Early Payment Discounts to Customers
	Don't Give Up Equity
	Factoring is Easy and Fast
	Leverage Off Your Customers Credit
	Detailed Management Reports
	Invoices are Paid Faster by Customers
	You Can Concentrate on Growing Your Business not Collecting Money
	No Geographical Limits Within Reason
	Early Detection and Warning of Customer Service Problems
	Credit Screening Prior to Accepting an Order
	Credit Monitoring
	No collateral usually required
	Employees Don't Panic and Quit
	Flexibility in Financing Options