Factoring is an ABL financial tool that can help companies unlock working capital and simplify their credit and collections processes. White Oak provides companies with immediate access to cash through factoring. Factoring assists in increasing financial flexibility and security by providing a revolving line of credit secured by a company’s accounts receivables. With access to White Oak’s real-time customer credit decisions, clients can grow their customer base and accelerate cash flows while mitigating exposure to bad debts.
Factoring is generally provided on a non-recourse basis and provides an inexpensive outsourcing platform for customer credit analysis, accounts receivable bookkeeping and the collection of invoices. White Oak typically purchases the invoices and provides full credit protection on undisputed invoices. In other situations, White Oak provides credit protection to mitigate the risks of non-payment. Clients have a direct line to White Oak’s credit department and gain 24/7 access to transactions and reporting, including the receipt of invoices, advances and customer payments.