Accounts receivable factoring is an affordable way for small businesses to receive funds for their business expenses while awaiting payment on all outstanding invoices.
Accounts receivable factoring has similarities to a traditional loan in that a lender offers funds in exchange for a fee assessed as a percentage of the loan. Unlike a traditional loan, accounts receivable financing is issued on the basis of a small business’s unpaid invoices.
The goal of accounts receivables factoring is to free up small business’s cash flow that are currently tied up by unpaid invoices. This helps your small business manage cash flow, the ability to continue paying your employees and suppliers, and investing in business growth faster and easier than if you waited for your customers to pay their own invoices.
National Advance Group
1 Linden Place Suite 404 – Great Neck, NY 11021