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How is factoring different from a loan, say from a bank? Do I have to sign a Personal Guarantee?

April 26, 2017Bank different factoring guarantee loan

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How is factoring different from a loan, say from a bank? Do I have to sign a Personal Guarantee?

1 Answer

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10 Posted

Factoring is not a loan; it is the process of purchasing valid Commercial AR [invoices] from your business at a small discount. Unlike most banks and other factors, there is NO personal guarantee required with our professional funding services.