With the approval process taking less than four days, accessing capital becomes more manageable. As your factoring account is already established, submitting new invoices can result in funds being available as quickly as one to two days.
What To Expect from Invoice Factoring Application Processes
Rapid Application Process
One of the most significant advantages of invoice factoring is the swift application and approval process. Most businesses can expect approval for factoring within just a few days of application – a stark contrast to the lengthy process of traditional loans.
Credit Checks Not Necessary
The majority of factoring companies extend their services to businesses without performing credit checks. This opens doors for businesses with less-than-stellar credit to reap the operational and financial benefits of factoring.
No Collateral Required
Likewise, businesses lacking assets or operational capital can effortlessly apply for and secure factoring for their invoices.
No Minimum Monthly Volume
Factoring is accessible even to the smallest businesses or one-person operations. Whether you need factoring for a single invoice in a month or numerous ones, small business owners and sole proprietors can apply for factoring services without any issues.
No Long-term Contracts
Approvals for factoring invoices don’t involve binding long-term contracts between the factoring company and the client company. Businesses can utilize factoring services on an as-needed basis.
Keep in mind that approval processes and payout times can differ among factoring companies. Make sure to inquire about the approval process with the factor you’re considering.
With so many factoring companies to choose from in the United States, conducting thorough research is one of the only ways to ensure you find the best fit. Invoice Factoring Guide (IFG) can help connect you with the best factoring company for your needs.
Dive into our Factoring Guide to learn what to look for when comparing different companies, or get in touch, and we’ll conduct the research for you. Contact us for a factoring rate quote today.