Q: Can we qualify if we have existing credit lines and/or SBA loans?
A: Yes. We compliment and work in cooperation with your existing lenders to enable you to access even larger
amounts of funding.
Q: Can we qualify even if we are starting in business and have no credit history?
A: Yes you can, if you have creditworthy customers.
Q: What happens if my customer goes bankrupt
before paying the invoice?
A: RBF takes the risk off your shoulders. You keep the funds the funder
advanced you.
Q: What will my customers think?
A: Receivable based funding
is not new. It has been around for many, many years. Up until recently however, it was only available to very large fortune
500 and 1000 companies. Rest assured that it is used by many of the largest corporations in the world to improve cash flow,
support growth, show strong financial statements and increase profits, (i.e.: the airline industry, the textile industry and
even Walmart and K-Mart to name a few). Many of your customers may have used this service themselves and others have become
familiar with it through other vendors. The fact that you qualify for this credit line makes a strong positive statement.
Q: Can we qualify if we have bankruptcy, IRS liens or judgments in our history?
A:
Almost always. That is one the advantages of Receivable Based Financing. Because the focus is on your customer's credit,
funding sources have become experienced in making arrangements with IRS and the courts to work out arrangements for companies
with great names that are having hard times.
Q: What is the smallest and largest invoice that we can
submit?
A: Obviously it depends upon the funding source, however most will finance invoices for
as little as $100. There is no upper limit. Invoices under $100 are accepted as multiple invoice lots.
Q:
Does receivable funding make good business sense?
A: Yes. Firms use Receivable Based Financing
for many different reasons. This is not a new service. It has been around for many years but was originally only available
to large businesses.
Q: Can I fund a government or municipal invoice?
A: Yes.
Nearly 40% of the invoice factoring business is government related. As a result our funders are experts in this specialized
area.
Q: Do I have to finance a minimum volume or future invoices?
A: No.
Finance one invoice or as many as you want to meet your cash flow needs. Stop when you wish, or continue as needed.
Q: What will this service cost me?
A: AWFG represents you but the funding source pays
for our service. Typically the funding source's fees for 30 days range from 4 to 5 points (%). Fees are lower for shorter
time periods or for reduced advances. Please see "How does receivable Based Financing Work for more information on how
funding sources charge. Fees can be defrayed substantially and we tell you how in "More Information".
Q: Do we bill on our letterhead or the funding sources?
A: You continue to bill as you
normally do. Checks may be made payable to you but mailed to the funding sources address.
Q: What is required
to have an invoice funded?
A: Your customer must be creditworthy and your product and/or service
must be completed.
Q: What types of Receivables are acceptable?
A. Almost
any valid invoice for services performed or product delivered.
