Ozarks Capital Funding

When you are applying for a factoring line of credit, there are several pieces of information about your company’s situation that determine how much your fee rate will be.  Among them is the amount of volume the company intends to factor intially and on an ongoing basis.

You’ll be asked to submit a current accounts receivable aging report which helps the factoring company determine the scope of the deal.   They will look not only at the monthly volume, but also the percentage of aging in each category (current, less than 30 days, 31-60 days, 61-90 days. and greater than 90 days).  Factoring companies don’t generally fund those receivables over 90 days.  They will also pay attention to the number of debtor accounts.  If there are few in number (called heavy concentration), that might effect the fee structure as well.

Get a free, no-obligation factoring quote or call us at (417) 849-7394.

Check out our new e-book, “Accelerate Your Cash Flow With Invoice Factoring”.  Click here.