Factoring Invoices provides cash to your business with no time delay from issuing invoices as well as sales ledger and collection services.
Accounts Receivables Financing (Factoring):
The service is disclosed to your customer who typically receives a letter from the factor, or attached note to your invoice, containing payment instructions to the factor.
There are different types of Factoring that each business owner needs to learn about, including Non-Recourse Factoring. Non-Recourse is a type of factoring where the factor assumes complete responsibility for collection of debt. If the debt is not collected due to the financial inability of the customer, the factor assumes the loss. And Recourse Factoring is a form of factoring where the client is liable for payment in the event the customer does not pay.
Learn more - Factoring Terms