HOW IS FACTORING MY RECEIVABLES BETTER THAN TRADITIONAL SOURCES?
A significant difference is that using traditional sources is reflected on your balance sheet as debt, whereas having your accounts receivables purchased is a prudent use of your assets, ergo, the term asset-based solution. In addition, while incurring debt most traditional sources require repayment of the debt with cash, receivables factoring requires no repayment and no cash drain. Each successive week generates new receivables which we continue purchasing, thereby providing you with a reliable stream of cash.
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