November 2, 2011
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What is Factoring?
Factoring your accounts receivables, or invoices, is an easy and effective way of improving your cash flow without taking on any new debt. When you work with a factoring company, such as DSA, you are able to offer customers terms without having to wait to get paid. Unlike getting a loan from a bank, factoring is not a loan but rather a sales transaction. You sell the factoring company your receivables and receive instant cash for them; it is then the responsibility of the factoring company to collect the payments when they are due. So the factoring company doesn't just help increase your cash flow, but also takes care of collections, allowing you to focus on what you do best. Your customers will always be treated with respect by the factoring company, as the factoring company's success is entirely dependent on your success. Factoring can be extremely beneficial to any business, from small start-ups to larger well established companies.
For more information on factoring, or to start factoring your accounts receivables please email us at info@dsafactors.com, or give us a call at 773-248-9000.
