Buyback Or Replacement Of Invoices
The cost of Factoring is paid by factoring fees. These are determined by how long an invoice remains unpaid. Factoring companies will allow the client to buy back an ageing invoice; or substitute it with a fresh invoice. This stops further fees on the previous invoice or prevents the old invoice from exceeding the ageing limit imposed by the factoring company.
Buyback - the client pays cash to cover the advance and the factoring fees on that invoice;
Replacement – the client replaces the ageing invoice with a fresh invoice of a suitable amount so that the advance on the fresh invoice covers both the advance and factoring fees on the old invoice.
© 2007 Sanjeev Aaron Williams & Cashwerks All Rights Reserved
The cost of Factoring is paid by factoring fees. These are determined by how long an invoice remains unpaid. Factoring companies will allow the client to buy back an ageing invoice; or substitute it with a fresh invoice. This stops further fees on the previous invoice or prevents the old invoice from exceeding the ageing limit imposed by the factoring company.
Buyback - the client pays cash to cover the advance and the factoring fees on that invoice;
Replacement – the client replaces the ageing invoice with a fresh invoice of a suitable amount so that the advance on the fresh invoice covers both the advance and factoring fees on the old invoice.
© 2007 Sanjeev Aaron Williams & Cashwerks All Rights Reserved
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