OCF Factoring Company
- Providing factoring services nationwide
- Over 70 years of factoring company experience
We say YES when everyone else says NO 888-266-0197
FACTORING
COMPANY
LINKS
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Your Factoring Company Benefits
How Factoring Works
The First Step:
The Client profile
You begin
by filling out a simple client profile, which we will provide you. Please click
here
for profile. This profile will
cover basics such as your company's name and address, the nature of your
business,
and information about your customers.
You may need to
supply an accounts receivable aging report, existing customers' credot limits,
or other related documents.
Remember the factor will attempt to determine
the
creditworthiness of your customers independent of their
credit
history with your business. We want a broader view
of their overall credit
status.
During this initial stage you will also cover basic financial
arrangements with the factor. For instance, what will be
the monthly
volume of invoices you want to factor(i.e. how liquid do you need to be)? What
will the advance rate and the
discount rate be?
How quickly will the
factor issue the advance to you?
In most cases, the answers to these
questions will
vary depending on the financial strength of your
customer(s) and the anticipated monthly sales
volume to be factored.
Variations between industries,
length of time in operation, and general
reputation of
how risky a customer of yours may be. For instance,
a long
list of high-risk clients will cost you more
in factoring fees than a short
list of government
agencies with a slow-pay history.
In the factoring
business, volume is all important.
The higher your volume(the dollar amount
of invoices you factor),
the more favorable your rates will be.
The
factor will use the client profile you submit to
determine if your business
is suitable for factoring.
This process is simply the factor analyzing
the
risks versus the rewards, using the information you provided.
Once
approved, you can expect to negotiate terms and conditions.
The negotiation
process takes several aspects of the deal into consideration. For instance, if
you want to factor $10,000,
you can't expect as good a deal as a company
that wants to factor $500,000.
During the negotiation process, you will
become
well aware of what it costs to factor your accounts receivable.
After you reach an agreement with the factor,
the funding wheels begin
to roll. The factor conducts
due diligence by researching your customers'
credit
and any liens placed against your company.
The factor also
confirms the legitimacy of your
invoice before buying your receivables and
advancing cash to you
To find out how we might structure
a factoring deal
for you, please complete our
online account receivable
financing request form.
To talk with a member of our sales team,
please
contact one of our regional offices at:
Toll
Free: 888-266-0197
and ask for Andrea
Fax #:
425-702-1874
Email: andrea@ocf.com
Discount Rate: The percentage of the face value of an invoice that a factor holds as its fees.
Variations between industries, length of time in operation, and general reputation all play a role in the factor's assessment of how risky a customer of yours may be
In the factoring business, volume is all-important. The higher your volume(the dollar amount of invoices you factor), the more favorable your rates will be.
We say YES when everyone else says NO 888-266-0197
Site Map
We are currently factoring account receivable financing nationwide including the following states: Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho State, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon,
Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, and Wyoming. http://mywebpage.netscape.com/fundingunique/account-receivable-factoring.htm
