Summary: Factoring is a type of financing that helps improve the cash flow of companies that have slow-paying invoices. This form of financing gives the client access to immediate funds, which can then be used to pay for business expenses and to grow. In this article, we show you how factoring works. We go over […]
Invoice Factoring
What is Factoring?
Summary: Factoring is a form of financing that helps companies with cash flow problems due to slow-paying clients. It allows your business to finance invoices, which improves your company’s working capital. Factoring transactions are structured as the sale of accounts receivable rather than as a business loan. Consequently, they can be set up quickly and […]
Recourse vs. Non-Recourse Factoring
There are two types of factoring financing, commonly known as recourse and non-recourse factoring. Some factoring companies specialize in one type of solution, though many companies offer both. In this article, we explain and compare both types of factoring. The article covers the following: 1. How does invoice factoring work? Before discussing the specifics of […]
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 with cash flow problems because their clients pay their invoices in 30 to 60 days. This article explains how factoring works and covers: How does factoring work? The role of factoring What are the benefits? How much does […]
Small Business Factoring and Microfinancing (Small Companies)
Most financial institutions don’t offer solutions to smaller companies because they don’t generate substantial fees. This situation leaves small businesses and self-employed individuals with few options. One financing option that works well with small companies is factoring. It’s a solution designed to help with cash flow problems due to slow-paying clients. This article covers: A […]
How to Choose the Best Factoring Company
Choosing the right factoring company is essential to the success of your business. The factoring market is very competitive, with many providers and different offers. In this article, we show you how to select the best factoring company for your business. Note: If your business is based in Quebec, read this guide. Is factoring right […]
Pros and Cons of Invoice Factoring
Factoring invoices has been gaining popularity as a way to finance companies that have cash flow problems due to slow-paying commercial clients. Factoring works by providing an advance on these invoices. This advance provides cash flow to operate the business and grow. To learn more details about factoring, read “What is invoice factoring?” You can […]
What is Accounts Receivable Factoring?
Accounts receivable factoring is a type of business financing that helps companies with cash flow issues. It allows companies to finance their accounts receivable (A/R), which provides immediate funding. A/R factoring is commonly used by small and growing companies that don’t have large cash reserves. In this article, we cover: 1. Do you provide net-30 […]