If you are a small businessman and you are sending out invoices which are due in 30 days but your customers take up to 30, 60, or 90 days to pay you, then Accounts Receivable Factoring from Sovereign Funding is the answer to your cash flow problems. Factoring allows you to leverage your large invoices to gain immediate access to cash. If you are a rapidly growing company you may have a large amount of money in receivables that you can’t tap from a traditional lender. In fact, fast growth creates an inordinate need for working capital. With the economy slowing, banks are curtailing lending and, when they do that, small businesses are always the first to get hurt.

Through the process of accounts receivable factoring, or accounts receivable management, you may sell your receivables to a funding source (a Factor). Typically the Factor will advance you 70% to 80% of your total amount and retain 20% to 30% in reserve. When the Factor collects on the receivables he will reimburse the reserve amount minus his fee which is typically 3% to 5%. You can see that after the first month you will be virtually running a C.O.D. business.

Think of the possibilities when you have cash on demand! Call us today for a free consultation. Learn about accounts receivable factoring.

Feel free to contact us anytime for a free no-risk consultation toll-free at (877) 836-4661 or email us if you have any questions.