Factoring Everyday, Most People Don't KnowBy on . Comments: 0.
Travis Griffith of Universal Funding wrote an interesting article regarding factoring and how most people factor everyday but just don’t know it. This could be a great marketing point to a potential client who is unfamiliar with how invoice factoring works.
You buy an item and swipe your card at the store to pay for it. You get your item right away, but aren’t out any immediate money. Instead, you promise to pay the credit card company for all or part of the bill within 30 days.
The retailer pays a fee on your credit card transaction, which is usually somewhere between two and four percent of the price. By paying that cost to the credit card company, the retailer gets the money it’s owed on your purchase right away while the credit card company waits the 30 days to receive payment from you.
While most credit card fees are much higher than the discount fees associated with factoring, the idea is very similar.
To read the article please click here.
Universal Funding has been in business for over 65 years and can factor for as little as .55 percent.