AR Financing
We Fund In All 50 States
Accounts Receivable Financing utilizes your business's outstanding invoices as collateral, unlocking a lump sum of cash. Funding usually takes place after you have delivered your products/services and invoiced the customer and there are typically no restrictions on what the advanced capital can be used.
One advantage to AR Financing over other funding methods is your business does not incur more debt to source the working capital as long as your invoices are paid on time.
Accounts Receivable Loans
Accounts Receivable Loans are where your business borrows money based on the value of its unpaid invoices and repays the loan plus fees when the invoices are paid. Your business retains ownership of the invoices and the loan terms can be flexible, allowing you to negotiate repayment schedules that fit your cash flow.
Accounts Receivable Factoring
Accounts Receivable Factoring is where your business sells unpaid invoices to a third party in exchange for cash and the responsibility of collecting payments from your customers is assumed by the factoring company. Upon complete payment settlement, you'll receive the remaining balance of the invoice minus a fee for the company's services.
Asset-Based AR Lending
Asset Based AR Lending involves using your accounts receivable as collateral to obtain a line of credit where the lender extends a percentage of the receivables to your business so you can draw funds as needed and only pay interest on the borrowed amount.
Purchase Order Financing
Purchase Order Financing is structured differently than the previously listed AR Financing models. The lender generally stipulates that your funds cannot be used for anything other than fulfilling your purchase orders against which your funding has been obtained. The risk is higher for the lender in the case of PO financing because your products/services have not been delivered yet so there could possibly be mishaps leading up to and during the delivery process.
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