Your Most Frequently Asked Financing Questions
Is it a lengthy process to sign up?
The most time in our factoring setup is spent discussing the tailor-made program designed to ensure factoring is right for you. The process involves simply filling out the application, completing factoring documents, and getting final approval.
How long does approval take?
The approval process may take 1-7 business days until first funding. After approval, funding usually occurs within 24 hours.
I am a new business without much history. Is factoring right for me?
If you are a new business faced with a large customer concentration demand, factoring may be perfect for you. In some cases, it may be the competitive edge you need! By factoring, you have the cash available to pay operational costs and supply the customer continuously.
How will my customers be treated?
This is a common concern heard by Partners Funding. Partners Funding becomes an extension of your company and treats your customers as such. As you know, it is of the utmost importance to treat customers with courtesy and respect. Please feel free to contact our client references to answer this question or for additional information.
Does Partners Funding compete with banks?
We provide factoring services, something a bank does not typically provide. We provide a product that compliments a bank’s lending services. We become partners whose common goal is helping our mutual clients.
What are the requirements for factoring?
Each business is unique and different requirements may arise. The factoring process puts more emphasis on your customer’s ability to pay. Factoring requirements are reviewed on a case by case basis.
What if my company had a financial loss last year?
The bank may not be able to help when faced with a financial loss. That’s where we come in. Partners Funding looks at your business processes and the customer’s ability to pay.
Is it expensive to factor?
Typically, you will find that factoring is more expensive than traditional funding sources. But as factoring demand increases, the cost of factoring is decreasing. The additional services Partners Funding provides, such as accounts receivable credit and collections management, reduce the cost of extra employees and time.
Is factoring a loan?
In the strictest sense of the word, it is not. You do not incur additional debt. You actually make use of an asset — accounts receivable.
Are there issues that can lengthen the application process?
Felony convictions, federal tax liens, active bankruptcies, SBA loans, and numerous company shareholders are topics to be discussed prior to the application process.
Is factoring relevant for both invoicing to businesses and individuals?
The factoring industry is a “business to business” industry servicing only invoices billing other businesses.