If your small business is fighting to stand out against other larger companies in Louisiana, it may be time to consider accounts receivable factoring.
Invoice factoring, also known as accounts receivable factoring, is the process of selling your active invoices to a factoring company for a cash advance.
Your company can use that cash advance however you choose – use it to pay for a new marketing strategy or for materials to take on a new large job. It doesn’t matter, the money is yours to grow your business.
Picking a factoring company to work with can be challenging. That’s where we come in. We’ll listen to your business’ wants and needs, then pair you with a factoring company in Louisiana that fits your size, location and industry.
How do I Start Factoring Invoices in Louisiana?
Accounts receivable factoring is simple. First, either give us a call or fill out an online form. We’ll ask a few questions about you and your company, then pair you with a factoring company within our expansive network.
The factoring company then puts your business through a quick approval process. Once approved, you’ll submit invoices for completed work. Then, the factoring company will contact customers you provided either goods or services for and verify the service was completed or the order was filled.
Once that’s completed, the factoring company advances you up to 95% of the account receivables and keeps the rest as the reserve.
From there, your customer pays the factor on their normal payment terms. Once the customer pays the factor, the factoring company releases the rest of the reserve to you, minus a small factoring fee.