Expand globally with international factoring
Even with our reliance on international trade in our global economy, the trade or import/export business remains complicated and costly. It is not uncommon for many small businesses to have issues with cash flow, insufficient working capital, and revenue generation. Those in international trade have these standard small business headaches as well. They also have issues unique to their industry to deal with such as adherence to international trade and commerce laws, insurance costs, and exceptionally long payment timeframes (60-90 days is common). In contending with a plethora of trade and commerce issues it’s no wonder that securing reoccurring international trade financing is a top priority for those in the business. Standard bank loans and related finance options are often insufficient given all the issues the business owner has to face. This is why many international trade companies turn to international factoring services.
Take advantage of international trade financing options
For all these reasons and more, many choose to partner with an international factoring company to provide just-in-time funding for importing and exporting. International factoring companies can work with both sides of the import-export model, including foreign companies who sell to the U.S. and U.S. firms that sell to foreign nations.
In some ways, factoring international trade works the same as other factoring services: the factor purchases the invoices at a discount rate providing the seller with the money needed right away. The factor then collects payment from the client 30 days or more later. Yet with financing international trade, companies have to contend with additional risks and concerns, such as:
The higher risk of non-payment from international clients, which can be harder to collect on than domestic clients
International trade insurance requirements and issues
Greater circumstantial risk dealing with political, environmental or economic affairs of other nations.
Cultural, language and currency barriers associated with international commerce
Payment terms that are routinely 60-or 90-days out instead of 30.
Experienced international factoring companies prove invaluable partners
Reputable international factoring companies are familiar with all aspects of the import and export business. Many are willing to “hold the hand” of new clients to walk them through these new processes and procedures. More than financing international trade, these international factoring companies guide the small business through the entire logistical process making sure they have the needed insurance requirements and are meeting international trade guidelines. Navigating these processes alone is worth the 3rd cost of international trade finance for most.
The types of industries that commonly partner with factoring international trade companies include: manufacturers, distributors, wholesalers, resellers, luxury goods, apparel & textiles, and more. Cost and pricing structure vary from firm to firm; however, most international factoring services can cost a bit more due to the lengthy wait time associated with the invoice collection process. Collecting 80% of the total invoice value is an industry-specific average estimate.
Learn More About International Factoring Companies:
- Invoice Factoring: A Viable Option to Bank Loans
- Is Invoice Factoring a Good Option for Your Business?
- How Much Does Invoice Factoring Cost?
Search Our List to Find International Factoring Companies Near You:
1508 Plaza Encantada NW, Albuquerque, New Mexico, 87107
200 West Second Street, Winston-Salem, North Carolina, 27101
600 TownPark Lane, Suite 450, Kennesaw, Georgia, 30144
220 Ave I , Redondo Beach, California, 90277
5540 Centerview Drive, Ste 200, Raleigh, NC, 27606
1700 Broadway, 19th Floor, New York, New York, 10019
5201 Blue Lagoon Drive, Miami, Florida, 33126
650 5th Ave, 24th Floor, New York, New York, 10019
1450 Bickell Ave. Suite 2660, Miami, Florida, 33131
1600 Expressway Plaza, Hauppauge, New York, 11788
946 South Court Street, Suite B, Crown Point, Indiana, 46307
2751 Hennepin Ave, Minneapolis, Minnesota, 55408
250 Yonge St #2201, Toronto, ON,
1441 Broadway, 22nd Floor New York, NY 10018
6750 North Andrew Ave, Suite 200 Fort Lauderdale FL 33309
923 North State Street, Suite 120, Fairmont, MN, 56031
1000 Mansell Exchange Building 300, Suite #340 Alpharetta, GA 30022
10320 Little Patuxent Pkwy Suite 200 Columbia, MD 21244
1925 18th Avenue NE Suite #115 Calgary, AB T2E 7T8
8307 University Executive Park Drive, Suite #250 Charlotte, NC 28262
17 W 415 Roosevelt Rd. Oakbrook Terrace, IL 60181
1333 Corporate Dr. Suite 117 Irving,TX 75063
8400 E. Prentice Ave. Suite 1500 Greenwood Village, CO 80111
11601 Pellicano Dr., Ste. B-5 El Paso, TX 79936
50 Harrison St. Suite #310-G Hoboken, NJ 07030
8410 N. Sam Houston Pkwy W Houston, TX 77064
3635 Quakerbridge Road Suite #4 Mercerville, NJ 08619
5870 SW 8th Street Suite # 6 Miami, FL 33144
3470 Washington Drive Suite #206 Eagan, MN 55122
3102 West End Ave. Suite 400 Nashville, TN 37203
4334 Northwest Expressway Suite 242 Oklahoma City, OK 73116
1 International Plaza Suite 550 Philadelphia, PA 19113
1029 H St. Suite 102 Sacramento, CA 95814
2025 Gateway Place Suite #370 San Jose, CA 95110
10430-1 Pioneer Blvd. Santa Fe Springs, CA 90670
1100 Dexter Avenue N. Suite #100 Seattle, WA 98109
2605 Enterprise Road East Suite #250 Clearwater, FL 33759
5780 Timberlea Blvd. Suite #103 Mississauga, ON L4W4W8
310 Airport Road Suite #500 Williston, ND 58801
1100 Dexter Avenue N. Suite #100 Seattle, WA 98109
1370 Broadway, New York, New York, 10018
9300 Metcalf, Suite 301, Overland Park, Kansas, 66212
3233 W. Peoria Avenue Suite 118, Phoenix, Arizona, 85029
20 Pacifica, Suite 360, Irvine, California, 92618