Invoice Discounting Online, a simple case study of how it works.
When we speak with a company that is interested in invoice discounting for the first time they usually just want to know how it works. It has been a few months since we have written a blog article the gives a good summary of how the basic process works.
The simple case study below will assume that a company has already become a client of ours and is ready to discount their first invoice using the online invoice creation tool.
Players: “Distributor A” doing business with “Retailer B” on 30-120 day terms
Purpose: Using electronic, online invoice discounting, get cash as quickly as possible to Distributor A by using the eFactoring platform
Create Customers
- Because Distributor A is now a client of Fast A/R Funding it can log into the eFactoring platform and request a credit line for Retailer B.
- The Fast A/R Funding account professional assigned to handle Distributor A’s relationship will quickly review the credit information submitted for Retailer B and respond with an electronic approval. Congratulations, Distributor A is now ready to discount invoices payable by Retainer B.
Create Invoice
- With a credit line established for Retailer B, Distributor A can now log into the eFactoring platform any time day or night and create invoices.
- Once the invoice has been created by Distributor B, the Fast A/R Funding account professional reviews the new invoice and can process it for funding ASAP (often in the same day!).
Congratulations, Distributor A receives cash advance for its accounts receivable!
Conclusion
The important thing to take away from this simple case study is that Fast A/R Funding can advance money to your company using electronic invoice discounting on the same day that your invoice are created.
- No Paper Documents
- Electronic Approvals
- Same Day fundings
To get a free quote click the link below.
