Accounts Receivable Factoring
Accounts receivable factoring is a great way to help manage cash flow by providing an alternative to traditional bank loans. It involves selling accounts receivable or invoices in order to secure immediate, working capital (cash) instead of waiting for longer periods. Accounts receivable factoring frees up your time for higher-value activities, reduces stress, and frees up working capital.
Factoring has been used by businesses for many centuries but the twentieth century brought great change to the way industries work. Businesses started realizing that they need more and more working capital to counter competition and factoring provided the perfect solution for companies facing cash-flow problems.