How Factoring Works

Receivable Factoring Flow Chart

Factoring invoices is a quick, easy and safe way to create working capital. Invoice factoring eliminates the wait for your accounts receivable to become cash, without the hassles of a traditional commercial loan.

1. Client sends an invoice to their customer (Account Debtor). The invoice is to be made payable to the Client but the "Remit To" address will be to Catamount's lockbox in Houston, TX.
2. At the same time, Client sends a copy of the invoice to Catamount to request funding.
3. Catamount will process the request internally and then wire transfer funds based upon the agreed Advance Rate to the Clients bank account.
4. Account Debtor sends payment for the invoice to the "Remit To" address on Clients invoice.
5. Within 48 hours Catamount sends final wire transfer of the Reserve Amount, less the agreed Factor Fee to the Client's bank.

Learn more about Catamount's Invoice Factoring Benefits