||What is Factoring?
In simple terms, factoring is the sale of a company’s accounts receivable operations to a third party, such as Transwest Capital.
When you invoice for loads delivered, you send the invoice to Transwest Capital, instead of the client. Once we validate the invoice, we will send you up to 90 percent of the balance within 24 hours, and sometimes on the same business day. Once the client pays the invoice, we will send you the remaining balance less any applicable fees.
Factoring is a great way to get an instant cash infusion for your business, as opposed to waiting 30 to 60 days to get paid. Factoring will give you the cash you need to take care of overhead costs and secure more business, faster.
Factoring is also a non-debt solution to a cash need. Funds are made available based on the credit worthiness of your customers, not on your credit.
When you factor with Transwest Capital, no long-term contracts are required. You factor as much or as little of your invoices as you wish. Transwest Capital also offers additional services such as credit reporting and collection. By utilizing all of Transwest Capital’s services, you’ll have more time to focus on building and developing your trucking business.