Factoring Accounts Receivable

Factoring, Invoice Factoring, Accounts Receivable Factoring, Receivables Factoring, Factoring Account Receivables, and Receivable Factoring all mean the exact same thing. The selling of a company's accounts receivable or invoice(s) at a discount, to a factor, who assumes the credit risk of the account debtors. Essentially it is the sale or assignment of accounts receivable or invoice(s) for immediate cash. This provides businesses from start-ups, mid-size, and large companies access to immediate working capital and provides cash flow for expansion or growth without incurring debt or reducing equity. Accounts receivable financing is not a loan, so there is no need to make payments or create debt for your business. The major advantage of accounts receivable factoring i View the rest of this article