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360 Capital Group
@360_capgroup
3 years ago
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Posted On: March 5th 2024, 05:31 pm
In receivable financing, a company sells its accounts receivable to a financial institution (such as a bank or a factoring company) at a discount. The financial institution then advances a percentage of the total value of the receivables to the company. Once the invoices are paid by customers, the financial institution collects the full amount and deducts its fees before remitting the remaining balance to the company. It's a flexible way for businesses to access working capital quickly. ๐ผ๐ฐ
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@360_capgroup
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