Factoring is a simple and fast means of raising cash by selling business accounts receivable at a discount to a third party. Smart business owners consider factoring as an alternative to offering early payment trade discounts directly to customers. Business can access advances up to 90% of the value of thier receivables by way of a one-time advance or a revolving factoring facility.

After deducting the associated factoring costs, the remainder of the invoice value is returned to the borrower upon collection.

Companies often encounter problems raising sufficient working capital to fund the
manufacturing costs associated with completing customer orders. At New Solutions we have developed an innovative programme to address this need which we call “Purchase Order Financing” Under this programme New Solutions will provide eligible borrowers with funds to cover up to 100% of the cost of firm sales orders and contracts from your credit worthy clients. Once the order has been completed and invoiced it then becomes eligible for further financing under our related factoring programme.

Whether funds are advanced under our purchase order or receivable factoring programme, the structure, security and documentation requirements are the same and represent a simple and quick working capital solution.


Managing Your Cash Flow

As every business owner knows, uncertainty as to when customers pay their bills is a major source of stress. By giving you cash now, factoring reduces this uncertainty and facilitates meeting key obligations such as payroll, utilities, rent and other critical business payments at a time of your choosing.

Why Would a Business Consider Factoring Accounts Receivables?

As there are minimal restrictions on the use of funds raised, smart business people use factoring to grow their business by:

Purchasing inventory and raw materials;

Meeting payroll;

Taking advantage of trade discounts;

Taking advantage of large contracts and business opportunities;

Avoiding various late payment penalties (especially CCRA);

Paying down / "freeing-up" locked in bank lines of credit;

Establishing a credit history to aid in obtaining trade and bank credit;

Satisfying seasonal business financing needs;

Restructuring corporate balance sheet to facilitate acquisitions and numerous other business financing requirements.

Why Work with New Solutions Capital Group?

No penalty for early payment

No long-term contracts

Fast turnaround within 48 hours of receipt of documentation

Minimal interference with customer relationships

Minimal restrictions on the use of the advanced funds

Funding is not tied to complicated financial covenants

Close cooperation with your exsting financial institutions.

For more information about accounts receivable and purchase order factoring, contact New Solutions Capital Group today.