Allocating capital for businesses of any size can be a stressful undertaking. Traditional bank loans can take weeks to become available, and even alternative lenders may charge higher interest rates for the convenience of fast cash. The process can be frustrating, and can throw a wrench into a smoothly running business.
If you’d rather not go through the hassle of taking out a loan, you may want to consider using a factoring service. Factoring is an alternative method of finance that allows business owners to sell their invoices, or accounts receivable, to a third party (the “factor”) for a certain percentage of their total value. The factor pays this portion of the invoice, sometimes in as little as 24 hours. Then, the company collects your customers’ payments and forwards the remainder to you, minus its service fee.
This solution gives quickly expanding businesses reliable capital to carry them to their next transaction.
Dispatches From The Front 