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How does factoring work?

Factoring can easily be integrated to any business and works as follows:

• You deliver goods or services and raise an invoice
• You sell the invoice to a factoring company. They immediately give you the first instalment of 70% to 80% of your invoice value.
• You get the immediate funds you need to run your business
• Once the customer pays the factoring company you get the second instalment (of 20% to 30%) and are charged a small fee for the transaction.



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