Factor Brokers Inc. wants to address any and all questions you might have regarding our programs. If the information you are seeking is not here, please call 305-767-2137 and we will be happy to assist you in any way.
 
GENERAL
  WHAT IS FACTORING?
  WHAT IS THE DIFFERENCE BETWEEN FACTORING INVOICES ON "NON-RECOURSE" AND FACTORING INVOICES "WITH RECOURSE"?
  WHAT TYPES OF BUSINESSES DO YOU FACTOR?
  WHAT SIZE CLIENTS DOES FACTOR BROKERS SERVE?
  DO YOU HAVE ANY RESTRICTIONS AS TO THE LOCATION OF A CLIENT?
  CAN YOU SUPPLY ME WITH REFERENCES FROM EXISTING CLIENTS?
   

PROCEDURES/APPLICATION PROCESS

  DO I HAVE TO PAY A FEE TO GET STARTED OR FOR YOU TO PROCESS MY APPLICATION?
  HOW LONG DOES IT TAKE TO PROCESS MY APPLICATION?
  DO I HAVE TO BE AN ESTABLISHED BUSINESS, OPERATING A MINIMUM NUMBER OF YEARS, TO BE APPROVED?
 

INVOICING AND COLLECTIONS

  DO I HAVE TO FACTOR ALL OF MY INVOICES?
  ARE MY RECEIVABLES HELD AS COLLATERAL?
  HOW LONG DO I HAVE TO COMMIT TO FACTORING MY INVOICES?
  HOW DO MY CUSTOMERS KNOW WHERE TO SEND PAYMENTS?
  HOW DO I RECEIVE MY MONEY FROM THE FACTORED ACCOUNTS?
  HOW MUCH DOES FACTOR BROKERS INC. CHARGE FOR ITS SERVICES?
  WILL FACTORING AFFECT MY RELATIONSHIP WITH MY CUSTOMERS?
  WHEN DO I RECEIVE THE MONIES?
   
GENERAL back to top
  What is Factoring?
 

Factoring is an agreement between a specialized financial services company (Factor) and his client where the Factor purchases the client’s accounts receivables for immediate cash and assumes the responsibility for credit and collection, protecting the client from credit losses.
With Factoring companies can unlock funds tied down as receivables and turn them into cash. It is a fast and flexible way to generate the cash flow necessary to grow your business.

  What is the Difference Between Factoring Invoices on "Non-Recourse" and Factoring Invoices "With Recourse"?
 

When an invoice is factored on a "non-recourse" basis the Factor takes the credit risk of the account debtor, thereby protecting the client from credit loss. When an invoice is factored "with recourse" it means that the client is ultimately responsible for payment, regardless of whether the account debtor pays or not.

  What Types of Businesses Do You Factor?
 

Factoring is widely used by small and medium-sized businesses in a broad range of industries, including manufacturing, wholesale, distribution, import – export and selected services worldwide that sell products or services on credit terms.
Some of the companies we currently accommodate are: Fruit Distribution companies, Clothing Manufacturers, Ground Transportation Companies, Shrimp Farms, Flower growers, Produce importers, Freight Forwarders, Ocean Shipping Companies, Processed Foods Manufacturers, Chemical Ink Manufacturers, and Printing Companies.

  What Size Clients Does Factor Brokers Serve?
 

Factor Brokers Inc. serves companies from start-up to $2 Million in monthly sales..

 
  Do You Have Any Restrictions as to the Location of a Client?
 

Factor Brokers Inc. serves clients in all 50 states and Canada. We also purchase invoices from other countries on a case to case basis.

 
  Can You Supply Me With References From Existing Clients?
 

Yes. Factor Brokers Inc. will gladly provide references once we have received a completed application package.

PROCEDURES/APPLICATION PROCESS back to top
 
  Do I Have To Pay A Fee To Get Started Or For You To Process My Application?
 

No.Factor Brokers Inc. requires no start-up fees with your application.

 
  How Long Does It Take To Process My Application?
 

Normally between five and ten working days is enough to get a client funded. We are generally able to give preliminary approvals within 24-48 hours via a Factoring Proposal Sheet. Keep in mind that there is a due diligence process that we perform on the invoices that are submitted to us for financing. In some cases, the time required to verify these invoices is the driving factor behind getting the funding in a timely manner.

 
  Do I Have To Be An Established Business, Operating A Minimum Number Of Years, To Be Approved?
 

No. We pride on providing financing needs to small to medium size businesses that are recently founded..

INVOICING AND COLLECTIONS back to top
 
  Do I Have To Factor All Of My Invoices?
 

No. You are always free to decide which invoices to factor and which to keep in house.

 
  Are My Receivables Held As Collateral?
 

Yes. Factor Brokers requires a first position UCC1 on all accounts receivable while you are factoring.

 
  How Long Do I Have To Commit To Factoring My Invoices?
 

Our standard term is six months.  However, we can adjust the term to meet the needs of the client.

 
  How Do My Customers Know Where To Send Payments?
 

Before purchasing any invoice the client must notify the customer (account debtor) of our payment instructions 

 
  How Do I Receive My Money From The Factored Accounts?
 

We usually wire funds to your account.

 
  How Much Does Factor Brokers Inc. Charge For Its Services?
 

Fees vary depending on the credit-worthiness of clients’ customer base, on the value of each Invoice, and the duration of each Invoice’s terms. However, our fees range from 2% to 3%. Per 30 day periods

 
  Will Factoring Affect My Relationship With My Customers?
 

No, you will continue doing business with your customers as usual. The only thing that will change is that the checks for the invoices which Factor Brokers Inc. has purchased will go to Factor Brokers instead of to your company. We will notify your clients that you have hired Factor Broker as a third party provider and that all checks and forms of payment must be directed to us. Other than that, nothing will change and the relationship/image which your company maintains with your clients will be untouched.

 
  When Do I Receive The Monies?
 

Factor Brokers funds all verified invoices submitted on pre-approved debtors within 24 hours of receipt. If the debtor has not been pre-approved for purchase, we will try to fund those invoices as fast as possible, usually within 24 hours as well. This kind of quick turnaround is the reason many businesses use Factor Brokers. This is also why Factor Brokers has become the largest privately held factoring company in North America, and the reason we are viewed as the industry leader.

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Factor Brokers, Inc. P.O. Box 45-1653 I Miami, Florida 33245 I Direct 786-522-6185 I Facsimile 786-522-6183 I info@factorbrokers.net Web Design by Turbonacho