Factoring Arrangement and Receivable Financing
When a company needs cash flow to meet their working capital requirements and to invest in growing their business, they will very often seek to create a factoring arrangement to meet those needs.
A factoring arrangement is an agreement between the company and a factoring firm to factor, or sell, their accounts receivable to the firm at a discount for an immediate cash advance. The percentage of cash advance depends not on your firm’s credit record, but on the credit history of your customers.
Click here to find out more how factoring arrangements and receivable financing work.
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