Invoice Splitting
In order to save the client some fees, the factoring company might split an invoice i.e. notionally splitting it into sub-invoices. This is usually done where the debtor makes partial payment on the invoice over a period of time, instead of paying it all off at once.
The effect of splitting the invoice is that higher fees are charged only on the later partial portions, instead of the full face value of the invoice.
© 2007 Sanjeev Aaron Williams & Cashwerks All Rights Reserved
In order to save the client some fees, the factoring company might split an invoice i.e. notionally splitting it into sub-invoices. This is usually done where the debtor makes partial payment on the invoice over a period of time, instead of paying it all off at once.
The effect of splitting the invoice is that higher fees are charged only on the later partial portions, instead of the full face value of the invoice.
© 2007 Sanjeev Aaron Williams & Cashwerks All Rights Reserved
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