Factor Loads

About

In simple terms it is the selling of your company's accounts receivables, for a transport company that means your freight notes / invoices (debtors) to a third party (a Factoring Company), so that you get paid now instead of waiting the usual 30, 60 or even 90 days to get YOUR money.

The funding is provided at a discount and usually available as soon as the Customer confirms the invoice is correct.

The amount advanced is a percentage of the approved invoice and will change depending on the Factoring company, the Customer and how credit worth they are and also your business history.

As a general rule the advance against the invoice is about 80% of the invoice.