Unfortunately in today’s texting, video conferencing, blogging and emailing business world you sometimes have no choice.

Do you too find it annoying when you’re talking to someone and they have their head down looking at their mobile phone acting like they’re listening to you?

In a past life when I was working as an executive for a publicly traded company, my typical day consisted of meetings, conference calls, and emails followed up with more meetings. I can remember many nights coming home and wondering what I actually accomplished that day. Some people call this success where I have a slightly different point of view.

Focus on Your Factoring Company Mission

When we first started our factoring company I made a vow that everyone in our company would be on the same page by following our mission which was,

“To Provide Immediate Cash Flow Solutions to Small Businesses with an Unsurpassed Level of Customer Service”.

We all agreed that our mission statement clearly defined our organization, why it existed and its reason for being. More importantly, the mission statement gave us focus.

Keeping the Factoring Business Simple

What initially drew me into the factoring industry was the simplicity of the transaction. Unlike a loan, a factoring transaction refers to an arrangement whereby a factor purchases an account(s) receivable from a business at a discount for a product or service that is completed, delivered, and accepted by their customer. This is about as straightforward of an industry there is.

Now many of you who are in the factoring business either as a broker or direct funder know there is a little more to a transaction than just giving money to anyone who hands you an invoice. We can always talk about the technical things like factoring agreements, notice of assignments and verifications which are all very important. However, at the end of the day, the basic concept is very easy to understand.

Finally, the best way to stay focused on what you do is to just say no. How many of you have received calls from a prospect or broker talking about a transaction that just didn’t make any sense? I can’t tell you how many times I’ve listened to someone looking for funding and they had the most difficult time explaining their business model. My position has always been to walk away from a deal if a prospect cannot explain what they do and how they are paid in less than a minute.

Keep your factoring business simple and focused. As the great director George Lucas once said, “Always remember, your focus determines your reality.”

Don D’Ambrosio is the president of Oxygen Funding, Inc., an invoice factoring company located in Lake Forest, California.

For more information, he can be reached at don.dambrosio@oxygenfunding.com or you can visit his company’s website at www.oxygenfunding.com

Being prepared to hear and address objections or questions is the most professional approach to these encounters.

Fortunately, the issues discussed herein are the most common concerns expressed by prospects and from my experience in both commercial and healthcare factoring will arise in almost all presentations or conference calls.

“Will The Factoring Company Control Payments?”

As a starting point let’s first understand that the factoring process takes significant (if not full) control over the client’s incoming cash flow stream. Since the factor usually has very little other collateral securing these transactions, the payment stream is the factor’s security blanket. This aspect of the transaction must be dealt with carefully, precisely and directly!

Our first example of a prospect’s fears therefore is the factor’s full control and domain over the incoming payments from the account debtors. There is almost a claustrophobic feeling on the part of the prospect at the anticipation of all cash movement being controlled by this potential finance company.

In my calls, I ALWAYS address the fact that this process will be put in place along with notification of the account debtors to pay my bank account. However I also include the fact that the prospect’s posting clerk will have daily visual access to the bank account showing deposits and even the checks. This way there is no posting delays and the A/R aging can still be managed by the prospect’s collections process.

By dealing with the realities of how the process works, we will uncover the concerns of the applicant regarding this particularly inflexible aspect of factoring, and we’ll immediately know if there is a future for this transaction.

“What Will My Customers Say About Selling Invoices?”

The next most common issue is the prospects perception that his customers (the account debtors) will think less of him because he is selling his invoices. “What will my customers say about my selling my invoices?”

I ease the concerns of prospects by explaining that Fortune 500 companies use this strategy to finance their businesses because it is not debt and strengthens their balance sheet. To follow I also explain that the customers whose invoices are being sold, have other vendors doing the same thing so it will not be a surprise. Finally the customer will realize that his vendor (the prospect) will be able to offer better payment terms based on this finance facility.

“What Are the Fees and Commitments for Factoring Invoices?”

Finallly, another issue is up-front application or underwriting fees. We offer our prospects a “no up-front fee” program however we do require a one year commitment. This commitment allows us to recoup underwriting expenses such as filing and searches, audits (in our healthcare finance program) and other similar expenses associated with new transactions.

If you as the consultant work with funders who have due diligence fees, they must be addressed honestly. It has to be made clear to the applicant that these costs are not always recouped by the factor especially if the transaction never closes, so therefore they are fair and reasonable. In the course of doing business the applicant himself/herself will certainly pass on similar expenses to his/her customers as well.

Prior to doing a call or visit with a potential client, anticipate the issues, face them honestly and don’t sugar coat them. If you can, have your funding source do the call if they provide that service.

Our procedure at Xynergy is to do all calls with the prospect and the referral source on the line. It serves both as a learning process for the consultant and it provides credibility for the consultant who actually brought the funder to the call. Best of all, the funder has the answers to all questions and concerns, and is the only one who can give advance rates and pricing thoughts if the call goes well enough.

About the Author: Fred Leder has been actively involved in the specialized healthcare financing niche for over a decade.

Xynergy Healthcare Capital LLC is a factoring organization focused on small to mid-sized healthcare providers nationwide. For more information contact Fred at (954) 489-6460 or by email at fleder@xynergyhealth.com.

Factoring Conferences

The International Factoring Association (IFA) finished up their 2012 conference April 18-21 in Huntington Beach, CA.  If you missed the event keep an eye on the factoring.org website for the the release of the conference cds.

They have also announced the IFA 2013 Factoring Conference April 24-27, 2013 at the Fontanebleau Hotel in Miami Beach Florida. Registration will be available mid October.

Factoring Trainings

There are several factoring trainings still available for 2012 from IFA.  One of these, The Small Factors Meeting, is moderated by Jeff Callender President of Dash Point Financial.  Jeff is also the author of How I Run My One Man Factoring Company and the Small Factor eBook Series.  Starting as a factoring broker in 1994, Jeff now owns his own factoring company and shares his knowledge with others interested in the factoring business as a broker or investor.

This training is being held October 25-26th in Las Vegas NV and will also be moderated by Ryan Jaskiewicz, the founder and President of 12five Capital. The workshop is designed to give small factors a forum to discuss and learn with emphasis on round table discussion, networking and education.

Factoring News From Bibby Financial

Bibby Financial Services has announced several news worthy items in April.  The following excerpts were taken from the formal press releases.  Please visit the Bibby Financial website to read the full version of the articles.

Bibby Financial Services Provides a Group of Businesses With $3 Million Factoring Facility

TORONTO — (Marketwire) — 04/10/2012 — Bibby Financial Services said today that it has funded an Ontario, Canada-based temporary staffing company that provides staffing solutions across the light industrial and financial services sectors.

The company already has two operating units that are current clients of Bibby Financial Services. This latest addition will use the increased cash flow to stay ahead of payroll expenses — a major concern for any staffing firm.

“Factoring is a smart choice for staffing companies due the pressure of meeting weekly or monthly payrolls,” said Bob Lall, Managing Director, Bibby Financial Services (Canada). “A staffing company might have 30-day terms for payment while its temporary employees expect weekly payroll checks. Factoring bridges the gap between invoicing and receiving payments. With increased cash flow and a factor following up on invoices for its clients, a staffing company has the time and working capital it needs to take on new business.”

They have also announced a new promotion in Canada.

Bibby Financial Services Names Hardy Kang Canadian Head of Sales

TORONTO — (Marketwire) — 04/16/2012 — Bibby Financial Services announced today Hardy Kang has been promoted to Head of Sales, Canada. In his new role, Kang will develop and lead the Canadian region’s sales team while continuing to take on new business and provide small and medium-sized companies with flexible cash flow solutions. He will report directly to Bob Lall, Managing Director.

Bibby Financial is a worldwide market leader in business cash flow solutions to small and medium-sized companies. With offices in eight North American cities and 14 countries around the world, its product portfolio includes accounts receivables finance, factoring, export finance, purchase order finance,  and specialist solutions for the staffing and trucking sectors. They are also one of the factors listed in the 2012 Factoring Company Directory.

According to data from the Department of Veterans Affairs, the number of veterans with post-traumatic stress disorder is currently increasing by about 10,000 every three months, what experts call the cumulative effect of a decade of war. As the need for mental health increases, so too does the need for psychiatric professionals. Hence, now is the perfect time for a nurse staffing agency to break into temporary psychiatric nurse staffing. And when they do, they will look to factoring brokers to help them avoid cash flow issues during the transition.

Even though they have a specialized niche within the staffing industry, mental health nurse staffing agencies experience the same kind of cash flow problems that general nurse staffing companies do. For example, a mental health nurse staffing business owner staffs Advanced Practice Registered Nurses (APRNs) and/or Psychiatric mental health nurse practitioners (PMHNPs) at a medical facility and sends an invoice promptly after the nurses have completed their shifts. Unfortunately, it’s typical for large hospitals to take 30-60 days to pay those invoices, so the business owner is faced with meeting up to eight weeks of payroll before getting paid.

Talk about a cash flow crunch.

Luckily, there’s a solution.

Mental health nurse staffing factoring can easily fill in the cash flow gaps, and here are some invoice funding selling points for you to share with your potential mental health nurse staffing clients:

• When a business owner chooses to factor their receivables, he/she can get cash the same day he/she issues an invoice.

• Invoice factoring provides unlimited capital, as it is the only type of business financing that grows with a business owner’s sales.

•  A mental health nurse staffing factoring company assumes the risk of bad debt, which eliminates any expense from the business owner’s income statement.

•  Most psychiatric nurse staffing factoring firms handle all invoice processing (i.e. posting payments) and provides professional collections services, so the business owner can dedicate his/her time and resources to marketing and securing new accounts.

•  Unlike the bank loan application process, mental health staffing factoring is quick and easy. It’s rare that a factoring company will ask for a history of profitability, business plans or personal financials.

•  Moreover, mental health nurse staffing agencies don’t need good credit or a long-term operating history to qualify for AR factoring services—all they need are creditworthy customers.

Once you have the mental health staffing business owner convinced that accounts receivable factoring is the best financing option for his/her business, the next step is to pair them with a funding source that has experience funding various kinds of nurse staffing agencies. Doing so creates a win-win scenario for all parties involved—The business owner has access to immediate funds, the factor has the ability to work with a new company, and the broker receives a steady income of commissions.

Nikki Flores is a Consultant Liaison for PRN Funding, LLC, which is an extraordinarily focused niche player in healthcare factoring.

PRN Funding exclusively factors the accounts receivable of companies that sell goods or provide services to healthcare providers.

You may also enjoy these Factoring Training Articles by Nikki Flores:

How to Qualify a Factoring Prospect by Asking Three Simple Questions

Invoice Factoring: An Alternative Financing Option for Outsourced Medical Billing Companies

How Factoring Benefits Private Duty Care Agencies

A few years ago we had a factoring business prospect referred to us from a broker that was affiliated with our company. The prospect was engaged in the business of logistics, working with several well known automotive companies. His business was growing and he needed cash flow to hire additional employees and take on more jobs.

After gathering the required documents we moved forward with our proposal to fund the prospect. The prospect accepted our terms and we proceeded with funding our new client’s invoices. For the first month or so we were able to verify, fund and collect without any problems. Since the client’s business was growing, he was looking for us to increase his credit line so we could purchase more of his invoices.

It was in the second month of funding when our team noticed that several of his invoices with one of his customers were still outstanding. This development struck us as odd since this particular customer of our client was very strong and the invoices with his other customers were paying in a timely fashion.

We contacted our client to shed some light on the issue and he informed us that he was not aware of any issues with the customer. We followed up with the client’s customer, who surprisingly informed us that they had never changed the payment address to our office even though they signed our notice of assignment.

Why Factoring Companies Use a Notice of Assignment When Funding Invoices

A “Notice of Assignment” is generally a written instruction to the client’s customer that the client’s accounts receivable have been assigned and is payable to the factor. This is an extremely important document for factoring companies. This document protects the factoring company in the event a payment is accidentally sent to the client instead of the factor. Even if the client skips off with your money, this document ensures you are still owed the funds from the client’s customer. Hopefully, you will never have to enforce this notice but it imperative you have it as part of your requirements before funding.

As it turned out, the client received our checks and actually deposited the funds directly in his company’s account. Believe it or not, this happens quite often in the factoring business. Many times, the client’s accountant or bookkeeper will deposit everything that comes into their office without knowing which check is the property of the factoring company.

With this knowledge, we informed the client that all factored funds were the legal property of our company and needed to be returned to our company immediately. Our factoring agreement has a clause that specifically addresses misdirected payments. It basically imposes a huge penalty on the client if the funds are not returned to our office within a twenty four hour period once the client has been notified.

The client informed us he wouldn’t be able to return the funds to us for another week or so. He also stated that since it wasn’t his mistake he had every right to the money to take care of a few expenses and pay us later. We explained to him this was unacceptable since he was now paid twice on his invoices and informed him of the misdirected payment clause in his agreement. He brushed it off saying we would get our money in about a week or so. Finally, we informed him of the notice of assignment that he and his customer signed when we opened his account with our company. We also mentioned that his customer would be receiving a demand payment letter from our legal department explaining the situation and how they owed us the money for the invoices he deposited.

This was not the way we wanted the situation to play out, but unfortunately the client left us no other choice. Think about, if this legal document had reached his customer it would have portrayed him in a very negative light and severely damaged his relationship. Needless to say, we received our funds from the client (along with the penalty) the next day. We also ceased funding this client because we felt that when given the choice to do the right thing, he chose not to do so.

Always have a notice of assignment perfected with all customers you fund to ensure that any misdirected payments will be paid to you, the factoring company.

Don D’Ambrosio is the president of Oxygen Funding, Inc., an invoice factoring company located in Lake Forest, California.

For more information, he can be reached at don.dambrosio@oxygenfunding.com or you can visit his company’s website at www.oxygenfunding.com

Consider the average number of times per month someone searches these terms online:

• Receivable Financing – 12,100
• Invoice Factoring – 14,800
• What is a Factoring Company? – 18,100
• Factor Company – 27,100

(Source: Google Adwords™ Keyword Tool. *GOOGLE is a trademark of Google Inc. and not associated with this site or author.)

There is no question that the buying and selling of invoices is a people business. You need to cultivate a relationship, but…

  before there is a relationship, you need to meet each other.

More and more businesses are turning online to meet their researching needs… for everything. Finding a company to factor invoices is no exception.

So, how do you help give your factoring business an edge online?

Try these three things…

1. Have a Great Factoring Website

A quick, ready-made, one page site from “Website Tonight” on GoDaddy might seem like a good idea. Sure, it may be better than nothing…but not much.

At a minimum you are going to want to create a professional presence and a way for people to contact you. Professional, effective, and search-optimized sites can now be built for as little as $349.00 (Check out ExposureOne.com for affordable website ideas).

2. Claim Your Google Places™ Business Listing

Make sure you are on listed on Google Places™ for business. If you have been around as a factoring company for some time, you probably already have a “Places Page” created in Google* search – and just not claimed it. For some great info on setting up your page, go here Google Places Help for Small Business.

3. Be Social

There are plenty of forums and social media sites that have a variety of factoring related discussions going on. These include questions from new brokers as well as potential clients. To be seen and heard you can create a profile and check in with them (at least on a weekly basis) to contribute and interact. You can read more tips at Factoring Training: Social Media and Small Business.

No matter how you cut it, there are deals to be had online. Your business income may very well be determined by your ability to gain more clients from this media. It doesn’t take a lot of work – and very little ongoing work.

Now is as good a time as any. If you have been putting off starting (or improving) your online factoring business presence, why not start today?

People new to the industry, both brokers and companies thinking about using factoring services, have an uncanny ability of making things more difficult than need be.

Terms like “hold back,” “reserves,” “advance rate,” and “points” can put people on edge.

Add to the fact that just about everyone tries to compare “factoring vs. bank loans” and it is no wonder many people leave the table confused.

The reason I bring this up is that many times a factoring broker will talk about items or “terms” that the prospective client has yet to bring up. Why over complicate the issue?

In the end, you have one focus as a factoring broker… help the client get money!

This should be the primary focus during any conversations.

One of the client’s best options to get money is by selling existing invoices. This comes with numerous advantages. Here are just a couple:

1. Factoring is not a loan. Therefor the prospective client is not incurring debt (or paying interest on that debt).

2. The client also has the flexibility to sell as many (or as few) invoices as they want.

3. The client is typically free to spend the money however they see fit (not managed by a bank administrator looking for more assets to leverage).

There is no doubt that many other variables come in to play – especially when it comes to due diligence. But much of that will be handled by the Factoring Company (investor, factor, or funder) – so stick to what you need most – signing up new clients.

So, in the end (or should I say the “beginning”) don’t over complicate discussions. Keep your focus on helping the client (i.e.: getting them money to help fund and grow their business) and the rest of the details will fall in place.

Whether you work in the factoring industry as a direct funder or consultant, we all know that quality customer service is a cornerstone for any company’s long term success. Lately however, it seems that customer service is measured more on speed than any other factor.

Factoring Company Due Diligence vs. The Need for Speed

As important as speedy funding is to the customer, thorough due diligence is even more important to the funder. So often we receive calls from brokers and prospects requesting funding in a day or so to meet payroll or pay a supplier.

Sound familiar?

As much as we would like to fund every prospect that comes to our company, there are several extremely important questions that every factoring company should ask early in the due diligence process:

• How long has the client been in business?

• Can they provide current financial statements and tax returns?

• Are there any UCC-1 financing statements in first position on the client?

• What is the credit history of both the client and account debtor?

• How is the client’s company organized?

• Can the client provide an aged invoice schedule for the customers they would like to factor?

These are just a few samples from our company’s due diligence checklist. Depending on the type of industry being factored, a factoring company’s checklist may vary.

Our experience on gathering these types of documents can range anywhere from two days to a few months. Much of the process is dependent on the willingness of both the client and account debtor to provide the information requested in a timely and presentable manner.

Solving the Factoring Puzzle

A colleague of mine compared the due diligence process to putting together a puzzle that never gets fully completed. You try to get as many pieces of the puzzle to connect in order to form a clear enough picture to move on to the next step.

In the race to get every deal funded, you will find many factors will try to slow the process for very good reason. Unlike banks and other secured lenders, factors advance cash to qualified clients based on a piece of paper in the form of an invoice.

Sure, the returns are high and so is the risk.

So next time the factoring company asks for some more information to get the prospect qualified, understand it’s not always the first one to finish the race that comes out the winner.

Don D’Ambrosio is the president of Oxygen Funding, Inc., an invoice factoring company located in Lake Forest, California.

For more information, he can be reached at don.dambrosio@oxygenfunding.com or you can visit his company’s website at www.oxygenfunding.com

You have a client in need of cash flow who has been in business for a year, has three large customers and gets paid in less than 30 days. Eager to help this entrepreneur get the cash he needs to expand, you refer this small business owner to one of your factoring partners immediately.

The factoring company tells you that they are interested in pursuing the lead, and they’ll have an update for you as soon as they reach out to the prospect. The next day, you get a phone call from the factoring firm telling you that they are no longer working the deal.

Has this ever happened to you? If you answered yes, then I have some good news for you. There’s a simple way to drastically reduce the chances of the above situation ever happening again. All you have to do is ask three key questions before referring a lead to a factor.

#1: Have Your Receivables Been Pledged as Collateral to Another Lender?

The answer to this question can dramatically change how a factoring company views a prospect. Simply put, if the answer is ‘yes,’ the deal just got less interesting.

In order for a factoring company to purchase invoices, it uses the company’s accounts receivables as collateral. If the business owner has a loan (or is working with another factoring company), then that lender has most likely already filed a UCC-1 and claimed the borrower’s accounts receivables as collateral. (NOTE: A UCC-1 is a legal document that a creditor files to give notice that it has an interest in the personal property of a debtor.)

Discovering that a potential factoring candidate has a UCC-1 is problematic for a new factoring firm because it cannot fund on invoices if another entity is already entitled to them. In some instances, a factoring firm can structure an agreement where the previous lender is willing to release its ownership rights on the receivables, leaving them clear for the new funding source to use as collateral.

#2: Do You Owe Any Past-Due Taxes?

If your prospect answers ‘yes’ to this question, the next thing you need to ask is by how much? In general, a business that is behind on its taxes is not a good thing. However, how much or how little it owes will give the factoring company a better idea of how invested it would like to be in the deal.

When the IRS learns that a business is behind on its taxes, it files a lien on the company’s assets, including physical assets (property, computers, fax machines, etc.) as well as liquid assets (bank accounts, accounts receivables, etc.). This is the IRS’s way of getting a business owner’s attention because if the owner doesn’t pay the IRS what is owed, the next step is to levy on those assets.

When the IRS goes through with the levy, it claims the accounts receivables and other assets to compensate for the back taxes. In this situation, a factoring company cannot fund because the accounts receivables no longer belong to the factor. In other words, when the IRS levies on a company’s assets, all of the payments for the receivables which the factor initially purchased now go to the IRS instead of the factor. Translation – The factor never gets paid what it’s owed.

There are some situations in which the prospect, factoring firm and IRS could arrange a payment plan when taxes are past due. However, in general, if a company owes the government money, the risk level is usually too high for a factoring firm to want to stay involved.

#3: Who Are Your Customers?

Factoring brokers should pay very close attention to how their prospects answer this question because there are a couple of “entities” that simply cannot be factored. In a nutshell, the accounts receivable factoring model works best when smaller, less-established companies are selling to or providing services for larger, creditworthy companies. As such, a factoring firm is able to extend credit to the smaller entity, which may have little or no business credit history, based on the fact that its customers are financially sound enough to pay their bills in a timely manner. This ideal factoring model breaks down any time the above conditions are not met.

The most common factoring deals that get turned down immediately because of who they bill are companies that are paid by private consumers and extremely slow-paying clients. For the latter example, it’s important to note what the standard industry payment terms are to determine if the customer is a slow payer. For example, in the medical staffing industry, it’s typical to see net-60 terms, whereas in another industry, net-60 might be considered too past due to purchase.

Incorporating these questions into your initial information gathering process will help you weed out some of the less desirable deals before you approach a factoring company, saving you, your prospect and the factor some time and effort. It will help the referral process run more smoothly, and it will help you better understand your clients’ current financial state so that you will be better equipped to help them with their cash flow.

Nikki Flores is a Consultant Liaison for PRN Funding, LLC, which is an extraordinarily focused niche player in healthcare factoring.

PRN Funding exclusively factors the accounts receivable of companies that sell goods or provide services to healthcare providers.

Two recent articles in CNN Money covered the ongoing small business financing challenges and highlighted one possible solution…

Merchant Card Advances

“Banks have backed away from making loans at a time when what many businesses have of value is cash flow and not physical assets,” said Slater. “That’s created a market opportunity for the cash advance industry.”

Those in the trade, such as AmeriMerchant and RapidAdvance, offer quick money with a hefty fee. Typical clients are restaurants and small shops, which take out advances that range between $5,000 and $200,000. A business owner who takes out a $70,000 advance will have to pay back $100,000. Lenders ensure repayment by immediately taking a fixed portion, close to 15%, of a sale every time a customer swipes a credit card at the shop.

Advances commonly take six months to repay and carry annualized interest rates of 104% to 177% if paid evenly every month, according to a 2009 industry analysis by consulting firm First Annapolis. Marc Abbey, an expert and managing partner at the firm, said figures are similar today.

Source: CNNMoney — Firms Turn To Riskier Financing 2/21/2012 and Small Biz Loan Demand Up, Federal Reserve Says 2/1/2012 — by Jose Pagliery.

The article went on to interview several business owners that used cash advances, including a new option from American Express that was rolled out in September. Express Merchant Financing from Amex now offers advances up to $750,000 with fees equivalent to a 6% annualized interest rate.

Other resources mentioned were Merchant Cash & Capital (MCC) and Kabbage, Inc.  MCC has been offering advances since 2005 and has funded nearly $400 million to more than 11,000 merchants. Their program requires business owners to process a minimum of $5,000 per month in credit cards.  They also offer commissions through their Independent Sales Organization (ISO) and MCC Reseller programs.

Kabbage, Inc. is a relatively new option that specializes in offering working capital solely for online businesses owners.  They support advances to online sellers using Ebay, Amazon, Yahoo Stores, Shopify, and Etsy.

How This News Relates to Factoring

Factoring involves an infusion of cash through the purchase of outstanding invoices or accounts receivables. Most factoring companies require the invoice debtor to be another business that is creditworthy. Merchant Cash Advance companies are advancing cash on anticipated credit card purchases, which often involve individual consumers or retail purchases.

So how does this news relate to the factoring industry?

1. It shows the ongoing need for alternative financing as banks continue to deny loans to small businesses.

2. It makes factoring discount rates look pretty attractive in comparison to some of the merchant cash advance fees quoted in the article.

3. It presents another potential avenue for earning income while filling a need. As a factoring broker or cash flow consultant you are likely to receive inquires from small business owners in need of working capital. Some of these companies will not be a good fit for factoring, however they might be candidates for other alternative financing options like Merchant Cash Advances. Many of these advance companies have partner or reseller programs that pay referral fees.

Want to learn more about the factoring business?

Be sure to check out the Factoring Bookstore for these informative training materials:

The Small Factor Series by Jeff Callender includes 6 essential eBooks for anyone wanting to make money with small invoice factoring and accounts receivable financing. This how-to system includes all factoring fundamentals including case studies, marketing tools, scripts, and more!