Why Did I not Qualify to Factor my Accounts Receivable?

Posted by Gil Oliva on Fri, Apr 25, 2014 @ 08:00 AM

There are times when a company will contact a factor believing they are in great shape to finance their accounts receivable, in other words, to use their invoices to generate cash flow. One of the first phases in the factoring process is to establish a viable relationship. Sometimes the answer is not what the company wants to hear.

This begs the question, Why am I unable to factor my invoices? There is a general misconception that invoice factoring is easily obtained and it is simple to qualify when a cash flow crisis arises, but not in every circumstance. Why should the answer be no?

While, generally speaking, it can be easier to obtain invoice factoring than it is to establish a loan or line of credit at the bank, the factor will still be looking to make sure your company finances are in good shape.

As part of the invoice factoring process, the factor will initially establish your financial objectives. Obviously you are looking to alleviate cash flow issues but the factor will want to determine exactly why. This is where the initial paperwork comes into play.

There are many articles written about invoice factoring being an excellent choice if your company credit history is less than perfect. While it is true that the factor looks at your customer’s credit rather than your own, this is not the only part of the equation.

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Topics: Factoring Receivables, Financing Government Contractors, About Invoice Factoring

Invoice Factoring – an Immediate Fast Cash Flow Solution

Posted by Gil Oliva on Fri, Jan 17, 2014 @ 07:56 AM

Invoice factoring really can be an immediate cash flow solution if your company is waiting on accounts receivable payment.

In prior blogs, we have discussed how to navigate through the cash flow challenge with suggestions on cash flow best practices. There is no doubt that the faster you get paid, the faster you can grow and take care of business. To recap, factoring your accounts receivables allows you access to your cash today, rather than waiting 30 – 90 days for your invoices to be paid.

Do your research! Make sure you choose an experienced invoice factoring company that thoroughly understands the process. Bay View Funding has been committed to solving cash flow challenges since 1985, and is 100% dedicated to customer satisfaction.

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Topics: Cash Flow Solution, Factoring Receivables, Financing Government Contractors, About Invoice Factoring

Invoice Factoring - The Funding Trend

Posted by Aaron Zahedani on Wed, Aug 07, 2013 @ 06:21 AM

Forbes article gives insight into Invoice Factoring trend

Are you looking to unlock the tremendous value of unpaid debts, as well as make the most use of your valuable assets? 

Invoice factoring is no longer a last resort answer to better cash flow, it has become the solution many businesses turn to.

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Topics: Alternative Financing, Cash Flow, Factoring Receivables, Financing Government Contractors, About Invoice Factoring

Invoice Factoring: Think Outside the Brick & Mortar Box

Posted by Aaron Zahedani on Thu, Jul 18, 2013 @ 03:55 PM

3 Tips to Grow your Business

So you are ready to grow your business. What immediately jumps to mind is some form of physical growth, such as opening up a new store, or moving to a new location. But there are many other opportunities worth considering.  Some are dependent upon the type of business you own, but many support all forms of businesses and can be a smart and relatively simple way to grow.

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Topics: Cash Flow Solution, Business Growth, Factoring Receivables, About Invoice Factoring

Recourse and Non-Recourse Factoring; what is the difference?

Posted by Gil Oliva on Fri, Apr 26, 2013 @ 12:27 PM

Types of Invoice Factoring 

Did you know that you have options if you decide to factor your outstanding invoices?  Many people are surprised to learn that there are two different types of factoring, and that one option may work better for your business than the other. 

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Topics: Factoring Receivables, recourse and non-recourse factoring, Types of Invoice Factoring, About Invoice Factoring

Invoice Factoring vs Bank Loan

Posted by Gil Oliva on Tue, Apr 02, 2013 @ 03:56 PM

Invoice Factoring Over A Bank Loan

Many successful businesses are now utilizing invoice factoring as an effective solution to their cash flow problems instead of pursuing a traditional bank loan. Invoice factoring is a type of financing that businesses use which involves selling their accounts receivables to a financing company which pays their invoices for them. The financing company takes on a certain amount of the credit risk of customers who owe the business until they are reimbursed once the customers pay their invoice in full.

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Topics: Alternative Financing, Factoring Receivables, About Invoice Factoring

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