Selling a Structured Settlement With the countless web sites, advertisements, legal jargon and complex issues surrounding structured settlements, it is easy to become overwhelmed and frustrated when you are simply searching for answers and straightforward information. Whether ... The Lowdown On Getting Cash For A Structured Settlement Payment It is possible for recipients of a structured settlement payment to sell a part of the amount for a lump sum that can be used for meeting some near-term expenses. The process of transferring one's rights to a structured payment to another party for a sum ... To Factor or Not to Factor? The purchasing of accounts receivable (invoices) is generally known as factoring. Businesses can sell their invoices to companies known as factors. Although not all businesses are familiar with factoring, historians claim that factoring dates back to the ...
Growing Faster Than Your Cash Flow? Let Factoring Fund Your Next Expansion!
Why wait weeks or months to get paid by your clients when you can access your money in a matter of days by factoring your invoices. When a business factors their invoices, they are allowing a third party to purchase their invoices at a discount price. This discount is considered the third party's fee.
If your business receives orders from customers on a regular basis, but has to wait 30, 60, or even 90 days for payment, you maybe experiencing a crunch in your cash flow. Factoring gives you the opportunity to access your cash within days not weeks or months. The growth of your company depends on whether or not you have the working capital necessary to finance your expansion.
When a factor purchases a company's invoice or invoices, no interest is ever charged. This is because factoring is considered an outright purchase. When a company sells their invoices to a factor, they can expect to receive an advance up to 90% or more of their accounts receivable. The business gets this money immediately and the factor makes a fee for this service, turning the transaction into a win-win situation for both parties.
Factoring is no longer a business tool used by the large Fortune 500 Companies. Small to midsize businesses are receiving tremendous benefits by implementing factoring as part of their financial strategies. If your business is growing at a faster rate than your cash flow, maybe it's time to explore an alternative solution such as accounts receivable funding.
Marty Milan works with businesses to help them generate a continuous stream of cash flow without the occurrence of debt. In addition to accounts receivable funding, you can read on various topics such as lawsuit funding, structured settlements, selling your private mortgage notes and more at: www.cashflowaccess.com. Email at cashflowaccess@aol.com.
Other articles include: To Factor or Not to Factor?
