Invoice Financing

Grow your Business with Invoice Discounting

One of the most common problems for small and growing companies is having to offer trade credit to their commercial clients. This allows customers to pay their invoices in net 30 to net 60 day terms. Offering terms is a common business practice, but it can create cash flow problems for companies who cannot afford […]

How to Finance a Canadian Business

Most commercial sales are done using trade credit. This means that the seller is expected to provide the buyer up to 60 days to pay an invoice. Most companies provide payment terms to their customers because clients demand it. You have little choice. Often, these provisions are inserted into contracts and you have to comply […]

How does Factoring Work?

This article provides a detailed view of how factoring works and of how a factoring transaction is structured in Canada. It covers everything from setting up an account to financing the first batch of invoices. Transaction Summary In a factoring transaction, you sell your invoices to a finance company in exchange for an immediate payment. […]

What is Invoice Factoring?

Factoring is a form of financing that has been gaining popularity in Canada as a way to finance a company with cash flow problems. This article helps you understand invoice factoring better and determine if it is the right solution your company. What problem does factoring solve? Most corporate sales, especially those to large customers, […]

Types of Factoring Financing – Recourse and Non-Recourse

In general, Canadian factoring companies offer two different types of factoring: recourse and non-recourse factoring. This article helps you understand how each of these programs work. How does factoring work? Most commercial sales are done on net-30 to net-60 day terms. However, many small businesses cannot afford to wait that long for payment. Instead, they need […]

Industries That Use Factoring

Factoring has been gaining traction in Canada as a financing solution that can help companies with cash flow problems due to slow-paying clients. This solution is flexible enough that it can be used in most industries that serve commercial or government clients. To learn more about factoring, read “What is Factoring?” What type of businesses can […]

Factoring in Canada

Factoring is a form of business financing that has been gaining popularity in Canada. It helps companies that have cash flow problems because their clients pay their invoices in 30 – 60 days. It’s not that their clients are bad payers – far from it. It’s just that many customers demand net-30 to net-60 days payment terms […]

Small Business Factoring and Microfinancing For Small Companies

Getting the right type of financing for any business is difficult; finding financing for really small businesses (microbusinesses) with fewer than 4 or 5 employees is extremely difficult. Because microbusinesses have low revenues due to their size, most larger financial institutions are not too interested in offering them financing. Large institutional lenders prefer to focus […]

Financing for Companies with Few Assets and Little Collateral

Getting business financing has always been difficult, especially for small companies. Most lending institutions require substantial assets, from both companies and their owners, to be used as collateral. Although collateral is not the only requirement, it’s the hardest requirement to meet. Since most business owners have invested all their money into their companies, their business […]

How to Choose the Best Factoring Company

Selecting the best factoring company for your business can be daunting, and many business owners approach the process haphazardly: they search the Internet, pick the top four or five companies from the listings, and then seek proposals from all of them. In the end, this process consumes a lot of time and does not always […]