Your Customer's Perception of Factoring

When our clients begin to use Factoring Associates in order to factor their receivables, an initial question that is frequently asked is: "What will my clients think?"

We generally advise our clients that effectively, they are establishing a credit line to enable growth. Thus, because not all companies qualify for credit lines, this can be seen as a very positive sign of your company's stability.

What many business people do not realize is that receivables financing is most commonly used by the world's largest corporations, and is funded by some of the largest banks in the USA. In fact, up until recently, only corporations with one million dollars per month in invoices could properly qualify for this service.

Sadly enough, most factoring companies simply would not bother with smaller companies or multiple invoices. Now, with recent technological changes, it has become truly advantageous for small companies to use factoring much like their larger competitors.

Receivables financing is most often used to expand and take on larger projects and not just for cash flow or payroll purposes. Because this service is now available to small companies, the common perception is that factoring helps a growing company to better finance its deals.

What you may not know is that many companies you already deal with use factoring companies. In fact, invoices that direct payments to post office boxes may actually be to a Factor! You might actually be surprised at how many of your customers have been exposed to, or use factoring.

Please feel free to contact us with any questions, or apply now to begin factoring today.

FAQ | Glossary | Process | Required Documents | Services
Accounts Receivables Outsourcing | Small Business Funding
Accounts Receivable Management | Business Receivable Factoring
Factoring Financial Services | Accounts Receivable Factoring Company
Factoring Accounts Receivables | Accounts Receivables Factoring