Your company’s accounts receivable–invoices sent to clients for goods, or services rendered–are listed on a balance sheet as an asset. Your business can then sell these invoices to The OCM Financial Group, which then takes on the risks of collecting the money owed by clients and provides your business with immediate funds.
Commercial Factoring can be helpful for many companies, regardless of business size or success. You can often factor more than you could borrow, provided you have valid invoices from reliable customers. By working with The OCM Financial Group, you can relieve yourself of the hassles of collecting payment.
If you have a steady client base that pays their bills more slowly than you would like, factoring can provide working capital based on your floating accounts receivable. It’s particularly useful for startups or companies without much collateral for securing a traditional loan.
Benefits of Factoring
- Simpler administration. Factoring features less paperwork than loans and no credit or reference checks of your business.
- More cash available. The amount you can factor is based on the total value of invoices, not by collateral or credit history.
- Easier to get funded. Factoring services are more concerned with your clients’ credit history than your company’s.
- Fast money. Factoring is a great option for businesses that need quick cash for any reason.