Making Sense of Medical Factoring

Many factoring brokers steer clear of medical receivables factoring because they think it’s too hard to get a health care deal funded. I’m here to tell you otherwise.

All you need is a general understanding of the types of companies that can benefit from medical factoring and a couple of strategic partnerships with the right health care factoring firms. Read more

Factoring Medical Billing Companies – Frequently Asked Questions

A lot of questions can come up when a business owner starts researching medical billing funding solutions – the idea of selling their invoices to a factor or medical billing funding agency. This article addresses some of the more frequently asked questions Read more

Allied Health Staffing Factoring – A Financing Solution For Expanding Companies

The growing nurse shortage has been in the headlines for years, but there is another very real shortage that’s also affecting our nation…the allied health personnel shortage.

Defined as clinical healthcare professionals that assist physicians and nurses, allied health personnel are an important part of the healthcare system. Hospitals, nursing homes and clinics are beginning to feel the stress of the aging Read more

Why Temporary Nurse Staffing Companies Make Great Candidates For Factoring

There are two instances when a temporary nurse staffing agency could encounter a bit of a cash flow crisis. The first is when the agency is just starting out, and the second is when it hits a period of rapid growth.

To a bank looking at a loan application, neither situation is attractive. On the contrary, to some factors both of these situations might sound very appealing, and this article explains why. Read more

Factoring Medical Receivables – Where are the Needs and Opportunities?

Have you ever known of a situation in which the Federal Government intervened in an industry through regulation or in any other way, and as a result of such intervention, the industry became more efficient?

If you can’t think of any off hand it’s because it hasn’t happened. The most recent example of such inefficiency has been the Read more

Directory of Factoring Companies and Service Providers – All New 2012 Edition

Sometimes it is not only what you know, but who you know.

Knowing the right contacts not only makes things easier, it can make you more money.

Gain access to our personal Rolodex of experienced factoring funders that took years to develop. Work direct with knowledgeable investors, educators, and mentors.

Grab your copy of the 2012 Factoring Directory today!

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Business owners and factoring brokers will gain instant access to: Read more

Accounts Receivable Factoring for Nurse Staffing Companies

The cash flow gap is a common challenge to nurse staffing agencies.  It can take months for the hospitals and nursing homes to pay invoices for staffing services yet the nursing staff needs paid every week or two.

Factoring companies can help by providing small business funding to Nurse Staffing Agencies, but should they choose recourse or non recourse factoring?

This article from guest author Philip Cohen of PRN Funding explains the difference.

Recourse and Non-Recourse Nurse Staffing Accounts Receivable Factoring: What’s the Difference?

By: Philip Cohen

What is nurse staffing recourse factoring?

For the most part, recourse factoring is the most common and the most affordable nurse staffing financial help available to business owners. In this type of factoring arrangements, the accounts receivable factoring company will require an agency owner to buy an invoice back if the client does not pay within a specified amount of time. Moreover, the nurse staffing agency owner accepts full credit risk for any and all accounts receivables that it sells to the factoring company.

What is nurse staffing non-recourse factoring?

The other accounts receivable factoring option that owners have is non-recourse factoring. In a nutshell, non-recourse nurse staffing financing agreements hold the factor entirely responsible for an unpaid invoices if the following is true:

If the hospital, nursing home or vendor management system (VMS) goes bankrupt during the time an agency owner’s invoice was factored.

If the hospital, nursing home or VMS goes out of business during the time an agency owner’s invoice was factored.

It’s important to keep in mind that non-recourse accounts receivable factoring does not cover the following situations:

• Very late payments when there is no insolvency
• Disputes/challenges with nurse staffing services
• General collections issues

Naturally, both options have pros and cons that an owner should consider before choosing which type of agreement to make. Typically, they will receive lower factoring fees and/or higher advance rates if they choose to enter into a recourse factoring relationship. On the other hand, a non-recourse accounts receivable factoring arrangement buys nurse staffing business owners’ protection if a hospital nursing home or VMS goes bankrupt. Ultimately, agency owners need to review their accounts receivable factoring contract in detail with a lawyer to determine which type of arrangement, recourse or non-recourse, is the best fit for their agency.

About the Author: Philip Cohen is the founder and president of PRN Funding, LLC, which is an extraordinarily focused niche player in the healthcare staffing invoice financing market place. Through a process known as factoring, PRN Funding provides business owners with the financial resources needed to grow and effectively compete in the industry. Contact Philip Cohen at toll-free 866.776.5407 or via email at pcohen@prnfunding.com. Please visit PRN Funding, LLC on the web at http://www.prnfunding.com.

Article Source: Ezine Articles – Recourse and Non-Recourse Nurse Staffing Accounts Receivable Factoring: What’s the Difference?

Accounts receivable factoring is available to a variety of industries including medical, construction, transportation, manufacturing, staffing, and other business to business services.  Factoring companies provide an advance on invoices so businesses don’t have to wait 30-60 days for payment from customers.

When Do Factoring Companies Decline Invoice Financing?

Factoring companies have a well-earned reputation for providing cash flow solutions when banks say “No” to business financing. But there are times when even they turn down a request for factoring help.

Improve your chances for approval by keeping four qualifiers in mind when courting receivable financing: Read more

The How To Guide – Allied Health Staffing Factoring

The notion of selling allied health receivables to a factoring firm may sound like a difficult concept to understand, but in reality, nothing could be further from the truth. Read more

Investor Spotlight: Healthcare Factoring with PRN Funding!

Factoring account receivables is helping health care companies through these tough economic conditions opening the door to earning opportunities for cash flow consultants.

FactoringInvestor (FI) caught up with Phil Cohen, Founder and President of PRN Funding, LLC, to fill us in on the specialized niche of healthcare funding.
Read more

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