BP Oil Spills Into Factoring Services

The gulf oil leak is showing up in some unexpected areas, including the accounts receivable factoring industry.

Companies across the gulf coast are being awarded contracts to aid in the clean-up efforts. Invoices are being created for everything from absorbants and booms to staffing and shovels.

Oil Spill Cleanup Image © BP p.l.c

But like most businesses, it can take 30 or more days to receive payment on outstanding invoices. In need of funds to help meet the growing demand, business owners are turning to an age-old financing solution – account receivables financing.

The search for factoring companies

willing to fund these deals has been a hot topic in the networking forums. Several companies have expressed a willingness to consider receivables with BP as the debtor, including:

Transfac Capital at www.transfac.com or by phone at 800-458-6056 x118

ETG Capital at www.etg-capital.com or by phone at 212-300-6791

Marketing for clients in need of ar funding for cleanup supplies and services can yield good results for savvy factoring brokers.

Just realize that most funders are likely to require a direct obligation from BP along with other protective underwriting criteria. This is a developing niche so modifications to funding parameters are highly subjective to change as the story continues to unfold.

There is no doubt everyone wants to see an end in sight for the gulf disaster. And if the cash flow business can can aid the efforts, then all the better!

Comments

  1. Hi,
    We are a factoring company located in Miami, Florida. We would like to offer our factoring services to BP Oil Spill. Is there any chamber to affiliate.

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