Series: BUSINESS BORROWING BASICS 2018
A simple way to think about factoring is to think of it as a company selling its invoices or accounts receivable (A/R) to a third party. It is not that simple, however, thus the purpose of this webinar. A factor makes a profit by buying A/R for less than 100% of its face amount. Companies that transact with factors are often cash-strapped. A factor will typically advance most of an invoice amount – usually between 70% – 90%. When the invoice is paid, the factor will remit the balance the company, less a transaction fee. This arrangement allows a company to get cash much faster than it would if it waited to be paid pursuant to the terms of its invoices (i.e. often 30 days) and even faster if its customer fails to pay within terms. This webinar discusses various common types of factoring arrangements; how to negotiate a factoring agreement; and alternatives to consider before deciding to factor.
Principal Audience: Attorneys and Advisors, Business Owners and Executives, Investors
Partner: ChamberWise, West LegalEdcenter
Starts: 04/18/2018 2:00pm
Ends: 04/18/2018 3:00pm
*All times are Central Standard Time (CST/GMT - 6:00)