Tap Into Your Accounts Receivable
Factoring, which involves offering your accounts receivable (AR) to another party at a discount in exchange for immediate cash, has been around for a long time. Its origins lie in international trade and it’s said to have started in the ancient world. The Europeans were factoring AR prior to 1400 and the idea came to America with the pilgrims. It’s the financial tool that wealthy financiers used to fund shipping companies to make the long voyages to the Orient or the New World to bring back goods like spices, cloth, tobacco, and other precious commodities.
In the truest sense, factoring isn’t a loan. ...