What is a Factoring Company?
A factoring company is a business that purchases another company’s unpaid invoices, otherwise know as factoring of accounts receivables. Your business will usually receive payment for those invoices within 24 hours. The factoring company takes the responsibility of collecting payment of those invoices from your customers. While you could go to a bank for financing, when you do, you incur debt. It could also be a more time intensive process and affect your company’s credit as well as your personal credit.
How to Choose an Accounts Receivable Factoring Company
Receivable factoring companies offer businesses an alternative to traditional commercial financing. Receivable factoring companies, like Universal Funding, purchase open invoices and provide a large advance, giving your business the opportunity to secure the funding you need for expansion, purchase of additional raw materials, payroll, or simply cover day-to-day operating expenses.
Why Choose Universal Funding?
Universal Funding Corporation is the right partner for you because we are there when you need us, whether you only need us once or in an ongoing capacity. We understand the need for reliable cash flow and opportunities for growth generally come with tight timelines. And unlike many other factoring companies, we can have funds in your hands in a matter of days.
Universal Funding is a private funding source that has funded thousands of businesses and more than $2 billion since 1998. We believe your business deserves a personal evaluation to determine the right financing approach. We take the time to learn about your business to get a clear understanding of the challenges you face and the growth opportunities that will take you to the next level.
Our expertise and tailored financial solutions offer many benefits:
- Fast funding, typically within 24-48 hours
- Get access to your cash tied up in unpaid invoices
- Your credit is not the key determining element
- Selling your accounts receivables will not influence your credit negatively
- Eliminate the typical 30-90 day wait for payments
- High advance rates and low factoring fees