Working with a factoring company can offer your business the opportunity to meet its immediate cash flow needs. Instead of waiting on funds that will come after your accounts receivable are paid, working with a factoring company can give you the money you earned immediately. While the benefits sound good, it’s crucial that you pick the right factoring company for your business.

Consider these things when picking a factoring company:

1 ) Does the company offer industry-specific factoring?

Factoring isn’t a one-size-fits-all concept. There are specific types of factoring for certain types of industries. If the company you’re considering doesn’t have industry-specific factoring, then that company may not be equipped to handle your business’s needs. For example, a trucking company would specifically need freight factoring in order for the service to be truly effective.

2 ) Is the factoring company flexible?

Before signing any type of factoring agreement, you want to make sure that the factoring company that you’ve chosen is flexible. If your company is new to factoring, look for companies that are flexible enough to allow a short-term agreement.

3 ) What are the company’s terms and rates?

Not all factoring companies have the same terms or fee structure. Some companies will claim to have the fairest rates, but be sure to do your research and compare the rates of factoring companies based on the services that they offer. Find out if any hidden fees exist if you were to sign an agreement with a prospective company. Watch out for companies that nickel and dime you through additional fees, like background check fees or application fees.

Corporate Billing Checks All the Boxes

Corporate Billing offers specialized factoring programs for industries like freight, parts and service, oil and gas, staffing, manufacturing, and industrial maintenance.

We’re also a flexible company. Corporate Billing offers factoring with no long term contract agreements. Our clients can leave at any time, although companies that work with Corporate Billing end up staying for years because of the service we provide.

Additionally, we offer fair terms and rates. We only charge one fee for service, and there are no hidden fees, background check fees, or application fees.

If you’d like to learn more about factoring with Corporate Billing, contact us today.