Invoice Factoring & Account Receivable Financing
One of the most frustrating facets of running a business is waiting for your invoices to be paid. Cash flow problems are also one of the main reasons businesses fail. But, what if you could guarantee you will see cash for these invoices? At Charter Capital, invoice factoring and accounts receivable financing provide you a debt-free cash flow solution so you do not have to incur debt while waiting for these invoices to be paid.
Invoice Factoring is a form of secured funding that provides businesses with immediate cash by selling their accounts receivable to a third-party company. This form of financing (also known as accounts receivable factoring) is a flexible way of obtaining capital, since the costs of factoring are directly related to the business cycle.
How Does Invoice Factoring Work?
Although it may sound complex, working with factoring companies is fairly simple. Once you are a customer of Charter Capital factoring company, it is easy to factor your receivables for immediate cash. We explain our factoring process with three simple steps: First, your business will invoice your customer as you always have. Then, your business submits the invoices they want to factor to us at Charter Capital. We then wire funds directly to your business, typically within 24 hours or less. Charter Capital waits for the payments from each customer. We act as an outsourced credit department, handling the collection and processing payment on the invoices. This enables your business to grow without the stress of trying to maintain cash flow.
Benefits of Invoice Factoring
There are numerous benefits that businesses can take advantage of when using invoice factoring or accounts receivable factoring. This method of financing acts as an alternative source of business financing and eliminates many of the criteria that companies must face in order to get a traditional bank loan. Although invoice factoring is often referred to as a “factoring loan,” it is not a type of loan. It is a financial transaction between a business and Charter Capital, and therefore does not include a bank.
You need fast, steady access to working capital to keep your business operating a optimal cash performance. If your finance company is slow to respond or requires painful paperwork, Charter Capital is the solution.
We work quickly to convert your invoices to cash so you will have the flexibility you need to grow your business. And, we have really simplified the process. As small to medium size business specialists, we understand the roadblocks you face and work with you along the way.
- Invoice factoring does not require a business plan or tax statements, unlike a traditional bank loan.
Gain Back Your Valuable Time
- Outsourcing your accounts receivable frees up your resources so you can focus on selling, producing and growing your business
Free Up Your Working Capital
- For many companies, a significant amount of capital is tied up in accounts receivable. Invoice factoring coverts these assets into immediate cash
Our Invoice Factoring Helpful Resources
At Charter Capital factoring company, we want your business to grow by providing you with the resources you need. We are dedicated to presenting you with the information you need through some of our helpful resources.
With small businesses, it is even more important to free up working capital through invoice factoring. The money can be invested into needed equipment, used to pay vendors, or used toward any needed business expense. The alternative, of course, is to go after your customer for payment and delay everything else while the money is tied up in the collection process.
Call us toll free at (877) 960-1818 or contact us today to find out how easy it is to set up a Charter Capital FactorLine. One of our account representatives will be happy to assist you.