How Invoice Factoring Can Invigorate Your Business

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Executive Summary

One of the ways that a business can get a little extra boost from the infusion of cash is through invoice factoring. With invoice factoring, a business can sell its invoices for face value - minus a fee - and receive a certain amount of money up front. The factoring company, also called a factor, will advance between 50% and 90% of the face value of the invoice, and when the money is collected, will provide the rest. This is usually a favorable arrangement, since it allows your business to get the cash it needs immediately, without waiting for loan approval or payment of invoices.

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