Accounts Receivable Funding FAQs

Unlike banks, which rely on the financial strength of your company, our funding relies on the creditworthiness and financial strength of your debtors.

There are a wide variety of reasons, most of which are related to growth or survival. Some of the most common reasons to factor include:

• Increase production
• Create new markets
• Hire new employees
• Increase sales
• Fill large orders
• Cash and volume discounts
• Unrestricted use of funds
• Debt free financing
• Need cash
• Payroll
• Payroll taxes
• Expenses
• Maintain credit rating

Common obstacles include:

• Poor debtor credit
• Liens on accounts receivable
• Non-assignable invoice payments
• Inability to verify invoices
• Poor operator

In many situations, yes. Decisions are made on a case by case basis.

A completed application, copy of your customer list, accounts receivable aging and a copy of your articles of Incorporation. Start your application here.

The easiest way to think about it is that Accounts Receivable Funding is used after goods and services have been delivered and when a company needs to accelerate access to the funds. P.O. Funding is used before goods or services are delivered to the buyer, to fund the production, acquisition and delivery of pre-sold goods.

In general, the application process is faster and less complex compared to traditional loan applications. But this can vary depending on the funding company you're working with, the complexity of your business and invoices, and the completeness of the information you provide. At Encore Funding, we offer fast approval times, helping you get the funding you need in a timely manner.