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How is accounts receivable factoring different than a loan from a bank?

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How is accounts receivable factoring different than a loan from a bank?

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When making an accounts receivable factoring decision, we will focus on the creditworthiness of your customers while banks will focus on your companys financial history and cash flow. Factoring is not a loan and will not show up as debt on your companys balance sheet. We can make a quick factoring decision, while banks may take weekseven monthsto approve a loan.

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