Friday, July 31, 2009

Factoring....A working Definition

Factoring is a basically simple method of providing a specialized form of commercial finance to
businesses. This method of finance relates to the sale of accounts receivables of a business.

Factoring simply does one of two things:

Factoring allows a business who is currently operating on a cash basis with their customers to
offer terms of payment (30, 45, 60 days) for goods delivered or services provided. Therefore
factoring will finance the terms of payment and entices their customers to buy more product or
services.

Factoring allows a business who is currently offering terms of payment to their customers to allow the business owner to extract the needed capital to sustain business growth, finance payroll or meet operating expenses.

Therefore factoring liquidates the current account receivables of the business.

Factoring is NEVER a loan.

It is an OFF BALANCE SHEET transaction.

What You Should Know About Factoring that Your Competition Should Not!
Growing Your Business by Granting Terms of Payment.
Start Saying "Yes" To Lucrative Contracts.
Financing Payroll and Operating Expenses.
Unlimited Credit, Fast Funding, Flexibility.

To find out more information regarding Invoice Factoring request our white paper.
Factoring: Immediate Cash For Your Small Business

About AZRogala REI, LLC

We are a small business advisory firm and specialize in the area of alternative business finance through the use of factoring accounts receivable. Factoring is one of the oldest forms of commercial finance know to man. Though well understood by finance professionals, many business owners are generally not aware of its immense power as a small and midsize business financing medium.

Our mission is to educate business owners about this powerful financing medium. Should you find this information useful, let us know and PLEASE feel free to forward this to other business
owners in your network.

Thanks for your time,