What is "Factoring"?
The purchase and sale of accounts receivable, represented by invoices, at a discount. An "account receivable" is money owed to your company by your customer for goods sold and delivered and/or services performed. The "discount" is the face value of the invoice (100%) minus the advance rate paid to you by the factoring company. Since we advance 80%, the discount is 20%. However, you are entitled to a portion of the discount depending upon the timeliness of collection, in the form of a "Rebate."

How do you handle problematic invoices
Invoices become problematic if they become older than 90 days, are disputed by the customer, or your customer mistakenly pays you. Therefore, problematic invoices represent money you owe back to us, which must be repaid either from your unpaid rebates, all or part of advances regarding new transactions, or some other means.

Explain your factoring agreement?
  It is flexible
  You can factor when you need to, but you can't inconsistently factor and not factor invoices for the same customer. We call this the "Rule of Reason," because your customers will set us up as the payee and will become angry if you attempt to turn that on and off. So, pick the customers you want to factor and factor all their invoices.
  No initial setup fees
  No early termination fee
  No minimum requirements
  Each daily batch or group of invoices is one transaction
  We charge $25 for each wire transfer and $.20 (20 cents) for each backup document fax page

Explain "Paperless Factoring"
  Our partner Equifax®, an online notary, will authenticate your identity when you apply
  You will electronically sign all legal documents (eg., factoring agreement)
  Invoices are either created on our website with our exclusive software or uploaded from Quickbooks®
  You will either fax or upload your backup documents

FAQ
Brokers are paid 1% of the amount a referred client factors when the client is funded, rather than after collection, which is the industry standard, as long as the client continues to factor.
Fillable-Faxable Client Registration Form.

$199.95 Home Study Course
National Factoring Academy, a division of 21st Capital Corp, offers a Home Study Course which teaches all aspects of the factoring industry. Click here for more details.

Current legal factoring documents:
Factoring Agreement (Version 5.5)
Resolution to Factor [Corporation & LLCs] (Version 2.4)
Guaranty (Version 3.4)

Factoring US Govt Invoices:
Assignment of Contract Proceeds
Follow built-in instructions re execution, notary, corporate/LLC seal, etc.

Invoice Confirmation Agreement:
Link

IRS W-9 Form for your customers:
Link

Physical address:
21st Capital Corp
23852 Pacific Coast Highway
Suite 600
Malibu, CA 90265

Communication:
Tel: 310-984-1390
Regular fax: 213-596-5787
Barcoded Fax Cover Page & backup docs: 866-865-8070
Email: Link
Website: Link

Invoice payment addresses:
Regular US Mail:
21st Capital Corp
File 70163
Los Angeles, CA 90074-0163

Wire transfer:
Please call for exact Wire Transfer information

ACH transfer:
Please call for exact ACH Transfer information

Overnight mail:
Bank of America / Lockbox Services
Attn: File 70163
1000 W. Temple Street, Ground Floor
Los Angeles, CA 90012