Timely Payments with Accounts Receivables Factoring
Every small business knows the pain of short-term cash flow problems. Accounts receivable factoring is an excellent way to fill the cash flow gaps and free up capital for lucrative projects. It also comes with several other benefits, including the ability to make your receivables collection more efficient and timely. Let’s take a look at the most important benefits of invoice factoring.
Easy financing – even with prior credit difficulties
Getting financing can be difficult with traditional banking institutions, particularly if you have no credit history, or a poor one. This is not a problem with factoring. The factoring company will agree to your financing on the basis of your accounts receivable and the creditworthiness of your clients. Your credit history will not affect your ability to enter into a factoring agreement.
Unlimited funding potential
While a traditional bank loan is a fixed line of credit, there are no limitations on the funding you can get from factoring, except the value of your receivable invoices. The more your business grows, and the more you invoice, the more funding you can access.
No monthly limits
With factoring, there is no obligation to factor a specific dollar amount. You can factor as much as you need to whenever you need to.
Administrative support and timely payments
Your factoring company can take much of the administrative burden of receivables collection off your shoulders. We can offer back-office support that includes collection calls, invoice management, and credit and background checks for your customers. We will ensure that your payments are received on time.
Kore Capital Corporation provides short-term capital to small businesses. For more information on our line of credit, government contract financing, or accounts receivable factoring solutions, contact us today.