Factoring of Accounts Receivable vs Pledging: What Is the Difference?
When people hear about a company that has pledged its accounts receivable, they often get the impression that pledging and factoring are similar. However, as we’ll see in today’s post, there are some fundamental differences between these two financing methods. What Is Factoring of Accounts Receivable? Factoring your accounts receivable, or receivables factoring, means selling…
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