Fordham Services

Accounts Receivable Financing

Accounts receivable financing or invoice financing, is a secured loan involving the assignment or pledge of accounts receivable as collateral in exchange for cash. The loan is repaid as the receivables are collected and reinstated as new accounts receivables are generated. This type of financing is commonly referred to as a revolving line of credit with cash advances tied to accounts receivable.

Accounts receivable financing enables a company to accelerate its cash flow at the time a sale is made and an account receivable created. Funds are immediately made available as opposed to awaiting payment from customers at a later date.

Accounts Receivable Financing Candidates:

  • Companies with revenue between $1 million and $50 million
  • Companies with needs of $100,000 to $5 million
  • Service, manufacturing, and distributor businesses

Contact us now