Companies facing a cash-flow squeeze and slow-paying customers often sell their invoices or accounts receivable to specialized companies called factors. The factor advances most of the invoice amount ...
Add articles to your saved list and come back to them any time. Factoring has suffered from image problems in the past, but can be a useful way for a business to help overcome a cash-flow squeeze. In ...
Jim Seward of the University of Wisconsin-Madison: "You’re not increasing your debt at all, so your credit quality actually looks better by factoring." Factoring can be an attractive alternative for ...