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A/R Finance & Factoring Terms GLossary

What isNet Funds Employed (NFE)

The NFE is the balance of outstanding Advances on a Client’s Accounts at any given time. NFE can also refer to a type of pricing factoring companies occasionally offer to clients, whereby the fee charged is based on NFE. However, this type of pricing can be more complex and difficult for a Client to calculate their true cost of working capital.

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