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What is Accounts Receivable Financing?

July 19, 2022

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Too many unpaid invoices can affect business growth. But for many small business owners, a stack of outstanding invoices is a grim reality. If you’re also struggling to stay afloat due to piled-up accounts receivable, you can opt for accounts receivable financing to improve cash flow in your company.

What Is Accounts Receivable Financing?

Accounts receivable financing, also known as invoice financing, is a type of financing option that allows you to access funds on your outstanding invoices. An account receivable financing company will provide you with capital up to 100% of your total outstanding invoice value in exchange for a fee.

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