At American Funding Solutions, we help our clients thrive by providing immediate working capital to help improve your business’s cash flow. Take advantage of our referral program to help business owners in your network succeed. Referral Program If you know a business that could benefit from invoice factoring, refer them to us and earn a one-time referral payment of $50 … Read More
AFS Sponsors 2nd Annual NAWBO Golf Tournament
American Funding Solutions LLC sponsored the 2nd Annual “Chicks with Sticks” NAWBO Golf Tournament on Monday, 6/21/2021 in Kansas City. NAWBO is the National Association of Women Business Owners. We have an amazing group of ladies in Kansas City. It was a fun day for golf and great to support our local NAWBO Chapter. The organization promotes education and advocacy … Read More
5 Tips to Stimulate Faster Cash Flow
Strategic invoices Invoices should clearly represent what is expected from the customer. The invoice be easy to understand. Highlight the important details, like the amount due, the due date, the work completed, and where to pay. Clear due dates Your invoice should clearly identify the due date to avoid confusion about when the payment is expected. Make sure your terms … Read More
How is Factoring Different than Bank or SBA Loan?
When businesses face cash flow challenges, they often explore various financing options to bridge the gap. Two common alternatives are factoring and traditional bank or Small Business Administration (SBA) loans. While both options provide access to funds, they differ significantly in terms of structure, requirements, and benefits. In this blog post, we will delve into the key differences between factoring … Read More
What is Recourse Verses Non-Recourse Factoring?
In the world of business financing, factoring has emerged as a popular option for companies seeking to improve cash flow and address working capital challenges. Factoring involves selling accounts receivables to a third-party (known as a factor) at a discount, allowing businesses to receive immediate funds instead of waiting for their customers to pay their invoices. However, not all factoring … Read More
Can I Factor My Past Due Invoices?
Most factors will purchase invoices that are slightly past due. If you have net 30 payment terms a factor may be willing to purchase an invoice that is 40-45 days old. The factoring company would need to verify that the invoice has not been paid yet. If your invoice is significantly past due, for example, 80-90 days it is then … Read More
Will You be Bugging My Customer?
American Funding will never bother your customer. We try to stay behind the scenes and allow you to maintain the relationship with your customer. We do what we call “soft collections” for our clients. We will reach out via email at 45 days if the invoice hasn’t been paid. We ask if Accounts Payable has the invoice in their system … Read More
Will My Customer Need to Complete a Credit Application?
Your customer will not need to complete a credit application. Instead, American Funding will pull a No soft credit inquiry on your potential new customer using a commercial credit reporting agency. We just need the business name and address to pull a commercial credit report. This type of inquiry does not affect your customer’s credit score or show as an … Read More
Is Factoring Expensive?
Factoring Your Receivables is an excellent way to increase your cash flow, but how much does it really cost? Typically, if you have net 30 terms with your client you will pay between 2-5 percent. Most factoring companies charge 1% of the total invoice every 7-10 days. For example, if your invoice is $1,000 and goes out 38 days on … Read More
Will I Build my Business Credit by Factoring?
Managing cash flow while building a strong business credit profile is essential for long-term growth. In this article, we’ll delve into the strategic benefits of invoice factoring that not only boosts your cash flow but also contributes to improving your business credit. By understanding the nuances of factoring, you can navigate the financial landscape more effectively and lay the groundwork … Read More