Types Of Smart Factoring Quotes Factoring

If you do not have enough time to deal with collecting all the debt that is owed to your business, you need to outsource this job. There are many companies that deal with all sorts of types of factoring. These companies can take a load off of your plate. You will no longer have to worry about factoring, while knowing that the job is getting done.

Invoice Factoring

Invoice factoring is a very common form of factoring. It is when you outsource and allow another company to do all of your invoicing for you. You also allow them to collect payments for you as well as follow up on unpaid accounts.

Disclosed Factoring

This is just an aspect of any factoring service. On top of all of your invoices, there will be a disclosure notice. This disclosure notice will state that the invoice is assigned to a specific factoring company. That way, when the factoring company contacts your clients, they will know that it is a legitimate collection process.

Confidential Factoring

When you sign up for confidential factoring, the factoring company will use your company name when they call your customers. Your customers will not know that you have outsourced the collection of your debt to a factoring company. In addition, it releases cash against your invoices, allowing you to keep your business moving while they collect the debts on your behalf.

Recourse Factoring

Recourse factoring puts the risk back on you. You are getting money from the factoring company with the hopes that your clients pay their invoice within a timely manner. If they do not pay their invoice within say, 60 or 90 days, this will become your debt. The factoring company will take back the money they loaned you for this client’s debt. You will then have to take care of collecting the debt from this particular customer.

If you want to outsource your factoring, get a Smart Factoring Quotes factoring today. They can help you choose what type of factoring services your business will need. They can also provide you with a free quote and explain everything contained within the quote to you.