Unlocking Working Capital: Accounts Receivable Financing For Businesses
Any successful business knows the importance of managing cash flow. Accounts receivable financing, also known as factoring, provides a solution for companies to access immediate funds by leveraging their outstanding invoices. This article explores the general information surrounding accounts receivable financing, its benefits, the process involved, and considerations for businesses.
Accounts receivable financing is a financial arrangement where a business sells its outstanding invoices to a third-party financing company, known as a factor.