Category Archives: Bookkeeping

Accounts Receivable Factoring: How It Works, How Much It Costs

If your payment terms are Net 120, as opposed to Net 60 or Net 30, then a factor will charge more. Longer payment terms increase the risk of nonpayment, and constrain the factor’s cash flow. Most factoring companies will not purchase invoices for incomplete work or undelivered product, because of the risks and complications down […]