Factoring: The World's Most Powerful Form of Small Business Finance. For those companies that operate on a B2B basis and providing goods or services to other businesses, few methods of commercial finance can compare with factoring. In fact, factoring is now recognized as an "essential" form of small business finance by the world's central banks such as our own Federal Reserve. Readily Available to Even the Newest Start-Ups.
Factoring is one of the most readily available forms of commercial finance for small, early-stage companies but is also utilized by very large corporations as well. So long as your business provides goods or services B2B and your accounts receivable are not already pledged as collateral for a traditional bank loan, your business can very likely qualify for factoring.