For businesses looking to improve their cash flow situation, understanding the tools available to them is vital. Two options frequently considered are factoring and assignment of receivables. Though they may seem similar at a glance, there are distinct differences between the two methods. Factoring Explained Factoring, also known as invoice factoring or accounts receivable factoring,…
In the realm of business financing, non-recourse receivables factoring has emerged as a strategic solution for companies seeking to streamline cash flow management and mitigate risk. Let’s delve into the advantages of non-recourse receivables factoring and explore how it can bolster your company’s financial stability and growth prospects. 1. Enhanced Cash Flow Non-recourse receivables factoring…
If you’ve heard the term “factored with recourse,” but don’t know what it means, you’ve come to the right place. In today’s post, we explain what happens when accounts receivable are factored with recourse and the implications for your business. Keep reading to learn more. How Does Factoring Work? Before we delve into recourse factoring,…
If you applied recently for a loan and noticed that your bank was stingier than before, it wasn’t just your imagination. Banks have been tightening their lending standards throughout 2023 due to a variety of factors. Keep reading to learn the reasons and discover some alternatives to get the capital you need. Why Are Banks…
Whether it’s a small business or a larger corporation, there will always be times when a business may face a cash crunch. In these situations, the business needs to raise funds to keep the operations running. Invoice factoring and overdraft are two common options businesses can consider in such circumstances. But which one is best? …
Receivables Management refers to the process of tracking and managing customer payments to ensure smooth cash flow in the business. In this blog, we’ll discuss the benefits of Receivables Management and provide some tips to help your business achieve a stronger financial position. Limit Bad Debt One of the most significant benefits of Receivables Management…
In order to remain on top of your business’s finances, you need to master some basic concepts such as cash flow and EBITDA. If you’re not clear on the meaning of these terms and the differences between them, you’ve come to the right place. In today’s blog, we tell you everything you need to know…
As we have seen in previous posts, receivables factoring can help companies across a vast array of industries, from transportation to services. But what about recruiting companies? In today’s post, we take a look at how factoring can help recruiting and staffing organizations. Is Receivables Factoring a Good Idea for Recruiting Companies? Yes! Factoring of…
As a business owner, cash flow is a crucial aspect of your operations. However, many business owners often face cash flow problems due to delayed payments from customers or unexpected expenses. This is where invoice factoring and lines of credit come in handy. In this blog post, we will be comparing invoice factoring to lines…
When it comes to keeping your business financial information streamlined, you can come across several confusing and seemingly similar terms. With that in mind, today we offer a detailed explanation of the differences between accounts receivable and a control account. Accounts Receivable vs Control Account: What Is the Difference? The fundamental difference between accounts receivable…
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