Account Receivable
Factoring
We can
turn your commercial accounts receivable into immediate cash!
Are you waiting 30, 60, even 90 days to get paid on your accounts
receivable? Would an advance on your invoices, up to 85%, provide you
with adequate working capital?
Bridgeport Capital Services will purchase your commercial accounts
receivable, allowing you to generate the cash flow that you need to grow and
prosper!
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Factoring is the sale of your accounts receivable (invoices) to
a funding source at a discount off the face value in return for
immediate cash. The funding source is known as a factor. This is
also commonly known as account receivable factoring or
invoice factoring.
The process typically works like this: You deliver a product or
service and issue an
invoice to your customer. Without
invoice factoring, you wait 30,60, or 90 days for payment. With
accounts receivable factoring, the factor immediately purchases the
invoice and advances an initial payment of 70-95 percent of the
invoiced amount. In most cases, you'll have funds in your account
within 24 hours. When your customer pays the invoice (payment is
made directly to the factor), you'll receive the remaining balance
(5 to 30 percent of the invoice amount) less the
factor's fee.
Waiting to collect on these lengthy billing cycles can put a
financial strain on a company that is growing steadily, growing
rapidly, or even struggling to survive. New and growing
companies may have trouble receiving traditional financing due to
shortage of time in business, diminishing profits and other typical
financial criteria used by traditional
lending sources.
Accounts Receivable Factoring IS NOT BORROWING! Instead,
it allows companies to take advantage of their outstanding invoices
to raise immediate cash without incurring additional debt or
compromising their current financial credit standing. |
Typical factoring clients include
manufacturers, wholesalers, distributors, and
service businesses
who have the following:
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$500,000 to $50 million in annual sales
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Customers that are credit worthy risks
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Invoices that are verifiable.
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Good management & industry knowledge
Bridgeport Capital Services
invoice factoring program not only supplies working capital but also
offers an array of other services.
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Credit Analysis - Professional
credit analysts assigning credit limits for customers. Credit lines
are constantly monitored and updated.
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Bookkeeping - Customers are provided with all necessary tools
for monitoring their accounts. Your daily transactions are available online
through current invoice factoring age reports, collection reports, and
reserve reports. With our documentation, customers will know where their
invoices are at all times.
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Funding - Funding of invoices are usually disbursed by the
next business day.
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Collections
- Our experienced staff will monitor your account on a daily basis.
Bridgeport Capital's collection program is customized to each client.
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Copyright: Bridgeport Capital Services, Inc. All Rights
Reserved |
