Recently, I have been writing articles about brokers who want to start factoring companies. As I have mentioned previously, the factoring field is very competitive, so you have to be highly selective when you choose your market niche. Some new factoring companies have taken this strategy a step further and differentiate themselves by adding niche products such as purchase order (PO) financing. This article discusses whether this is a good strategy. A brief purchase order financing tutorial Basically, purchase order financing helps companies that have a purchase order and need funding to fulfill it. In principle, the product sounds great. However, it has a number of restrictions. Specifically, it can be used only for transactions … [Read more...]
Purchase Order Funding And Factoring Offer Full Service Financing
Discover how Purchase Order Funding and Factoring can provide full service financing for your clients. How often has it occurred that you have prospected for factoring clients, and when it came time to qualify your lead, they really needed a finance product that provided funds before the creation of an invoice? We know first hand that such situations are very common. We’ve even had the situation where we sent out a proposal and the applicant replied that they needed up front funding, not invoice factoring, even though we fully explained at the start that we did factoring. It was soon after that event when I realized that factoring and purchase order (PO) funding are closely related and the two products can offer referral sources … [Read more...]
“Hey Millennium, I have a great Purchase Order Funding Deal”
Over the years, we have fielded many calls from consultants inquiring about Purchase Order Funding opportunities (PO Funding). These types of prospects seem to garner a great deal of excitement as most prospects looking for PO Funding are in dire need of cash, and they need it now. … [Read more...]