PRN President Appointed to Factoring Association Advisory Board

CLEVELAND,  June 4  /PRNewswire/ In May,  Philip Cohen, president of PRN Funding, LLC, was one of six selected to the International Factoring Association Advisory Board. As a new board member, Mr. Cohen will be asked to provide guidance and feedback to the association's executive director,  Bert Goldberg. Together with the other board members, Mr. Cohen will also be responsible for communicating up-to-date factoring industry information to the entire International Factoring Association (IFA) membership base. "I'm honored to be given the opportunity to help shape the International Factoring Association," Mr. Cohen said. "I'm eager to get started." Founded in 1999, the mission of the IFA (www.factoring.org) is to disseminate … [Read more...]

Single Invoice Factoring Provides Cash Flow for Small Businesses

FROM  MARKETWIRE May 13, 2009 BETHESDA, MD   The Interface Financial Group (IFG), North America's largest alternative funding source for small business, reports instances where invoice factoring, when a business sells its accounts receivable invoices at a discount, has helped a company stay in business in the midst of the current global economic downturn. A recent report by BizBuySell.com, which tracks the health of small business, indicates that there has been a decline in business-for-sale transactions and valuations. Additionally, the number of closed transactions reported in the first quarter decreased by 36 percent as compared to the same 2008 time period. As many small business owners across the country are struggling, many … [Read more...]

Factoring Conference CD and Handouts

The International Factoring Association (IFA) wrapped up their 15th Annual Factoring Conference in Orlando, FL on April 25, 2009. If you missed this informative event IFA has made it easy to listen to the 2009 factoring conference sessions on audio CD.  This year's session handouts are also available for download in PDF format. For more information visit the IFA site. … [Read more...]

Factor Marketing – 5 Proven Referral Sources

A factoring broker has excellent earning potential referring business to factoring companies for accounts receivable funding. But before there are commissions there must first be prospects, which all stems from active marketing. Successful factoring brokers continually turn to referral based marketing as a key component of an effective marketing plan.   Consider these five proven performers when developing factoring referral business: … [Read more...]

Receivable Funding Benefits Small Business

CHICAGO (BUSINESS WIRE) -- Bibby Financial Services recently provided a $2 million credit facility to a produce company in Northern California. The company buys and sells strawberry plants to growers in California, Florida, and Mexico. In addition, Bibby Financial Services extended a $1 million credit facility to a transportation and logistics company with many fleets and locations throughout the western United States. The company plans to use the funds to meet payroll for independent contractors hired to execute deliveries and service local accounts. Nick Hart, CEO, Bibby Financial Services (CA), states, As we see traditional funding facilities continuing to tighten up on credit, it is important that businesses have the finance … [Read more...]

How to Identify a Good Factoring Prospect

Cash is always in demand so there's no shortage of companies that can benefit from the business funding factoring provides.   The greater challenge is finding a business that is likely to receive funding from a factor. Ask these 4 questions to identify a good candidate for factoring accounts receivable: … [Read more...]

Factor Marketing – Perfecting the Elevator Speech

Quick! Tell me what you do in two to three sentences. The elevator speech is a cornerstone marketing component for developing accounts receivable factoring clients. Like with most businesses, the elevator speech is a brief commercial describing your services that can be used when contacting customers in person or by phone. Here are five key elements of any successful elevator speech: Personal and Business Name Services Offered Who benefits What's In It For Them (WIFT) Duration of 30 seconds or less This introduction assumes there is a limited amount of time, like an elevator ride, to describe what you can offer. When putting the components together, a factoring consultant elevator speech might sound like the following … [Read more...]

What is Non-Notification Factoring?

  When a factor makes an advance to a business on invoices or accounts receivable they want to be certain payment is received from the account debtor. Whether or not the account debtor is notified of the assignment differentiates between notification factoring and non-notification factoring. With Notification Factoring the account debtors are notified the invoices were purchased and are requested to make payment directly to the factoring company. In the case of Non-Notification Factoring the account debtors are not notified the business sold and assigned the receivables.  Also known as confidential factoring, the invoices are generally paid to a lock-box. Factoring is primarily handled on a notification basis.  In fact about 82% of … [Read more...]

Bibby Financial Services Funds $1.25 Million

TORONTO, Mar 05, 2009 (BUSINESS WIRE) -- Bibby Financial Services recently provided a $1.25 million funding facility to an Ontario-based transportation company. The funds were used to pay out the company's loan facility with a major Canadian chartered bank and provide it with working capital after the bank had placed it into a special loans unit due to the company's losses. Bibby Financial Services was able to work with those bankers to complete the transaction and provide the client with the cash it needed to continue to operate, meet its obligations and manage its growth. "It is important now more than ever that Canadian businesses receive the financial resources they need to continue to grow," said Kevin Westfall, VP Operations, Bibby … [Read more...]

Overcoming Cost Objections to Factoring

We recently received this query from a factoring investor subscriber: "In the past, prospective clients complained about factoring costs being very expensive. How do we overcome this objection?" There are several ways to address the cost question as explained here by Mike Ponomarew. … [Read more...]