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It’s easy to make mistakes when you’re new to the invoice factoring process. Here are some common factoring mistakes and factoring tips if you make these mistakes.
Common mistakes when factoring
Not reading over your invoice factoring services contract thoroughly.
Everything you need to know is clearly laid out in the invoice factoring contract. You just need to take the time to read every word to avoid invoice factoring mistakes. Read for additional fees or other consequences you weren’t aware of. Read every word and have a clear understanding of your contract before making it official with your signature.
Not being upfront with your clients about working with a factoring company
Let your clients know you are working with a business that uses invoice and freight bill factoring services. A factoring company representative will be contacting them at some point about invoices and collections so they need to know in advance. Simply let them know that a third party will be handling your invoices and collections processes moving forward.
Not considering invoice factoring as a solution to your cash flow problems
common mistakes when factoring
Small businesses need funding to grow. If your business is one of them, and you frequently have trouble getting your clients to pay their invoices on time, invoice factoring should be among the services you consider.
Don’t get left behind or make common factoring mistakes - contact Triumph Capital today!
Read More: https://www.invoicefactoring.com/factoring-blog/new-to-invoice-factoring-avoid-these-common-mistakes/
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