Want to expand your business but don’t have the funds to right away? Give accounts receivable factoring a try.
Invoice factoring, also commonly referred to as accounts receivable factoring, is the process of selling active invoices to a factoring company for a cash advance.
How Do I Work with a Pennsylvania Factoring Company?
Working with a factoring company in Pennsylvania is as easy as picking up the phone or filling out a form. From there, your business will be matched with a factoring company that best fits your needs and wants.
The factoring company will put your business through a short approval process. Once accepted, you can submit your invoices to them. The factoring company then contacts your business’ customers and verify that a service was completed or order was filled.
Once verified, the factoring company advances your business up to 95 percent of the account receivables, keeping the rest as reserve. When your business’ customer pays the factoring company, they release the reserve to you minus a small factoring fee.