How Does B2B and B2G Accounts Receivables Factoring Work?
B2B and B2G Accounts Receivables Factoring with United Capital Funding is fast, simple and hassle-free. Clients fill out a schedule of invoices they wish to sell when capital is needed. Upon receipt of the schedule, United Capital Funding will fund up to 90% of the total amount on the same business day. Once the invoice is collected at a secure lock box, the reserve account (less a small fee) will be returned to you. Our B2B and B2G clients enjoy the benefits of same day funding, as opposed to waiting up to 90 days for payment.
B2B and B2G Accounts Receivable Factoring vs. Traditional Bank Line of Credit
- Accounts Receivable Factoring focuses on the credit worthiness of your customers, not your company.
- Unlike a typical bank loan, factoring clients are not subject to tightening credit availability due to credit cycles, economic volatility or market fluctuations.
- Traditional bank loans have restrictive covenants on net worth, leverage, profitability, dividends and other restrictions, which inhibit sales growth.
- Typical bank loans focus on the strength of the balance sheet, the profit and loss statement and cash flow of your company.
- Factoring de-leverages your balance sheet.
- Getting set up with United Capital is quick, free and with no long approval process.