US Fund Source provides Asset-Based Credit Facilities and Receivable Funding and Factoring. Asset-Based Credit Facilities start at $1,000,000 and provide businesses with immediate funds and ongoing cash flow in the form of a revolving line of credit based on a percentage of assets used as collateral. Examples of collateral could include accounts receivable, inventory, and equipment.
Recievable Funding and Factoring is also provided by US Fund Source when a business sells or assigns their accounts receivable to a third party ( US ) at a discounted rate to provide what’s called a receivables line of credit. Funds could be used as a solution for credit management as well as collection assistance. Facilities in this category start at $250,000.
These two products require the following items to be considered:
- One Page Electronic Application
- Most Recent Financials
- Detailed AR/AP
- Sample Invoices
- Any Current Contracts
Invoice Factoring, also known as “invoice financing”, is a quick solution to receive capital on time. It is a financial transaction in which a business sells its AR ( Accounts Receivables or Invoices) at a discount to an external financing company. This enables the company selling its invoices or AR to receive the funds much sooner than waiting the typical net 30,60, or 90. Companies can use an invoice that has not yet been paid as collateral for an advance on the amount of the invoice pending payment. Typical lenders will provide anywhere between 75-96% of the total value of the bill.