Companies facing a cash-flow squeeze and slow-paying customers often sell their invoices or accounts receivable to specialized companies called factors. The factor advances most of the invoice amount — usually 70% to 90% — after checking out the credit-worthiness of the billed customer. When the bill is paid, the factor remits the balance, minus a […]
Global factoring volumes have reached a record €2.37tn in 2015, but the modest growth of 1.4% from the previous year points to growth imbalances across different regions. While domestic factoring remains dominant over international factoring, counting for 78% of the total, cross-border factoring increased by 8%, and is expected to keep driving factoring growth in […]
With more and more reputable companies entering the factoring business, services have greatly improved. But factors’ bottom line use remains the same: providing ready funds for companies in cash-flow-challenged industries. When the United States invaded Afghanistan, the armed forces needed a great deal of infrastructure support, everything from electric generators to water purifiers to road-repair […]
Waiting for your customers to pay up is a pain — and it could hamper your small business’s cash flow. That’s why invoice factoring, which gives you a cash advance on outstanding invoices, is a valuable financing option for many small-business owners. It’s especially useful for those who run B2B companies — ones that sell […]