Insights Blog

AR Financing for Cash Flow Shortages

Accounts receivable financing is a process where businesses sell their outstanding invoices or receivables at a discount to a specialized finance or factoring company (usually called “the factor”) that will assume the risk on the receivables and in return will provide a quick influx of cash into your business.

Factor Receivables for Immediate Cash Flow

Having trouble getting a loan for your business? You may want to consider factoring your account receivables. For many small businesses, factoring receivables provides a method to turn non-liquid assets such as invoices into instant financing without incurring debt or damaging credit. Getting advanced financing for your invoices might be the right step for your […]

The Advantages of Debt Factoring

  Debt factoring is the sale of a business’ invoices to a third party. The third party, or the receivable factor, is charged with processing the invoices, and the business selling the invoices is able to receive funds based on the expected payments on the invoices. Debt factoring is also known as the selling of […]

Recourse vs. Non-Recourse Factoring

What is the Difference Between Recourse Factoring and Non-Recourse Factoring? There are 3 main ways non-recourse factoring is different from the standard full-recourse factoring. You will most likely have to factor all of your invoices. No personal guarantee is required for the contract. Factoring fees are higher for this type of financing. Full Recourse Factoring […]

When the Factoring Light Turns On

Being in the factoring business, I often speak with business owners about their financing situations. Many haven’t heard of invoice factoring, or aren’t aware of exactly how it works or how it can benefit them. Once the process is explained, I can see the little light turn on in their heads and the concept of factoring becomes […]

Universal Funding Welcomed 11 New Clients in July

Eleven companies were approved last month to begin taking advantage of the financial services offered by Universal Funding Corporation. Industries represented include medical, government, manufacturing, janitorial, media, freight logistics, corporate safety and staffing. The companies combine for a total line limit of $3.15 million per month, all of which is debt-free money the companies can […]

Specialty Financing for the Oil Industry

Traditional bank financing just doesn’t move fast enough for companies that do business in the oil and gas industry. Oilfield service companies often have all kinds of equipment to help in the production and transportation of energy. Power units, vacuum trucks, frac tanks and anchor trucks are just a sample of the machinery companies operate […]

Invoice Factoring in an Improving Economy

We all know the economy has been a rollercoaster the last few years. And yes, that has made things considerably more difficult for many businesses. Things like getting bank loans, offering terms to customers and waiting longer to receive payments have wreaked havoc on many small and medium-sized businesses. None of this is new. The […]

How an Ad Agency Solved its Cash Flow Problem

Like many companies, the economic downturn brought about a very slow period for a mid-size U.S. ad agency. The recession hit many of the agency’s clients hard. Rather than the 30-day payment cycles the agency was used to, the A/R invoices weren’t being paid until 45-60 days out. The delay in these payments started to […]

Avoid an Irreversible Financial Tailspin

Like it or not, doing business with large companies usually means you have to offer 30-90-day terms. Doing so offers small businesses a way to win, and retain, some potentially lucrative business contracts. As a matter of fact, many large customers simply demand these payment terms as a condition of doing business. The problem, of […]