What is Factor?
A factor is an intermediary that offers companies immediate cash or financing by buying their accounts receivables. Essentially, a factor is a financial entity that agrees to provide the company with the value of an invoice, deducting a certain amount for commission and fees. Through this method, businesses can enhance their short-term liquidity by trading their receivables for a quick cash infusion from the factoring firm. This approach is also referred to as factoring, factoring finance, or accounts receivable financing.
OTHER TERMS BEGINNING WITH "F"
- Factoring
- Factoring Advance
- Factoring Company
- Factoring Discount Fee or Factoring Rate
- Factoring Line of Credit
- Factoring Master Agreement (FMA)
- Factoring Receivables
- Factoring Reserve
- Federal Acquisition Regulations (FAR)
- Federal Reserve Beige Book
- Financial Distress
- Financial Sponsor Coverage
- Financial Sponsor Coverage
- Financial Statements
- Financing
- FinTech
- Fixed Asset
- Fixed Interest Rate
- Fixed Rates
- Fixed Terms
- Flat Bed Trucking
- Floor Plan Financing
- Forbearance
- Forbearance Letter
- Fraud
- Free on Board (FOB)
- Freight Bill
- Freight Broker
- Freight Factoring
- Freight Recession
- Front Office