Accounts Receivable Factoring for the growth of your business
Loans up to $5M. In most cases, No Collateral Required*
Obtain funding within a few days after approval.
Simple & Easy
Bad Credit or Past Credit Issues may NOT be a problem.
Approval within 24-hours of submitting the application.
Cadreau Capital Funding Makes Attaining Accounts Receivable Factoring Quick & Simple!
Yes, this is just as troublesome and challenging as it sounds. Being at the pity of late-paying customers stops you from scheduling your finances for future plans, taking advantage of profitable opportunities, and paying your business partners on time. Profit limits and business credit decrease as difficulties that should have been fixed right away become increasingly bothersome.
But these businesses need to grow just like any other. Cadreau Capital Funding offers Accounts Receivable Factoring for borrowers that need to dramatically cut their business cycle, so they can expand or simply meet accounts payable burdens. Contact us today for your free business funding consultation!
What Documents Will I Need To Apply For Accounts Receivable Factoring?
Voided Business Check
Business Tax Returns
Credit Card Processing Statements
Ready to take the next step and apply for Accounts Receivable Factoring?
What Is Accounts Receivable Factoring?
How does Factoring accounts receivable work? The business sells its unpaid receivables or invoices to a third-party, or “factor” for a small discount. Even though payment for the product or service hasn’t come in yet, the third-party pays the business right away. It is then the obligation of the third-party organization to collect payment from the late-paying customer. Don’t worry: The third-party organization will not “chase down” the customer and threaten the relationship with the borrower.
When the factor gathers the payment, the business is paid whatever was absent from the first payment, minus a percentage. The discount and percentage are the factor’s fee; like interest on a traditional small business loan.
Accounts receivable factoring, however, is not classified as a loan, meaning it does not show up as “debt” on your balance sheet. And because the third-party is being paid by your customer, not the borrower, accounts receivable factoring is accessible by borrowers with bad credit. The factor is not worried about the borrower’s ability to pay them back. But the factor might not be willing to buy an unpaid receivable if there is a chance the customer will not pay their bills.
What do I need Accounts Receivable Factoring for?
The benefits of reducing your business cycle from months to just a few days are endless. The most important is increasing your bottom line and saving money. The longer an account goes unpaid, the more harm it does to profit margins and operational capital. Accounts receivable factoring permits you to quickly put money back into your business. You always have money available for regular or unexpected expenses and can your suppliers ahead of schedule. This will make you entitled to discounts and good credit references since you have shortened their business cycle as well.
Another major reward is probability, or the ability to schedule your upcoming investments or plans for growth. With accounts receivable factoring, you can serve a customer with the knowledge that you’ll be paid at once afterward. Your plans or expenses can, therefore, be synchronized with your invoices or the signing of new accounts.
Speaking of new accounts, you can now extend more credit than your competitors to customers. Larger customers are well-known for slow payment cycles, but now there’s no limit to who you can do business with.
You can also use the money you get from the factor for anything. This includes getting out of a financial bind or leveling out longer-term cash flow. Other investments associated with growth are buying inventory in bulk, attaining new equipment, hiring more workers, or launching a new advertising campaign.
Partner with Cadreau Capital Funding today!
Nonetheless, of why you need the money, you will be surprised to learn how much more creative you can be when you don’t have to spend your days trying to gather payments from late-paying customers! Apply now to see how much you qualify for!