While a loan can create debt on your balance sheet, factoring is purchasing a company’s accounts receivable instead. This process speeds up your cash flow with invoice factoring because it utilizes an asset your company already has instead of creating a form of debt. Banks focus on your financial history and factoring focuses on the creditworthiness of your customers. In addition, Kover Capital is quicker to make a factoring decision than banks are to approve a loan. We also provide credit protection with all of our funding packages.
Upon signing your agreement, the first funding can take between 3 to 10 days. If you wish to expedite your funding, you have the option to send in invoices to be funded with the signed contract. It takes less than 24 hours once your account is set up.
Kover Capital requires:
o A brief application
o Your company’s most recent accounts receivable and accounts payable aging reports
o Articles of Incorporation or a d/b/a filing
o A master customer list
o A sample invoice
No. You can decide which invoices you wish to factor and which you’d like to keep within your company.
Yes. Kover Capital will give you Working Capital and Credit Protection as well as include A/R Management Services in our fee. Where the true risk lies is in meeting your customer’s needs and the occasional fraud. For this reason, we ask for complete honesty and transparency throughout the entire factoring process. This is why we require Personal Guarantees from your company’s ownership.
Please let us know right away if a bank has a lien on your company’s accounts because we can use the bank to subordinate the lien. Unfortunately, some banks will decline this request, depending on your circumstances. The alternative is to pay off the loan first to leverage the buyout.
Kover Capital can fund up to 100% of your company’s creditworthy accounts receivables and can advance you up to 90%. Please note that this is all dependent on the industry.
Our low rates are as 1.25-2% per 30 days including credit protection and A/R Management. For further information, please visit ****.
Kover Capital offers Non-Recourse Factoring and Credit Protection to help protect against credit risk. Bankruptcy protection includes what we advance you plus the factoring fees.
Kover Capital will factor 100% of your customer base, as long as they are creditworthy. We require the names, addresses, phone numbers and amount of desired credit for each customer.
We want to keep your customers as much as you do! Kover Capital will not harass your customers for money and promises to uphold your company’s standard.
Unbeknown to many, factoring has become very common due to the fact that rapidly growing companies require more working capital than traditional banks can provide. It is very likely that your customers have already experienced factoring in the past.
Kover Capital will notify your customers to pay us directly. Invoices that are chosen to be factored will contain our address as the place to send payment.
