Synergy Partners has joined forces with one of the largest factoring operations in the United States, converting over 500 companies’ accounts receivable into cash daily. Historical purchases up to $1 billion annually. This joint venture will allow Synergy Partners to offer yet another product to financial institutions to achieve growth through new accounts, non-interest income, higher profitability, and increased retention.
Benefits of Factoring
- Generates immediate cash from operations.
- No restrictive financial covenants.
- Often an alternative for clients that might otherwise sell equity or seek partners.
- Clients utilize full benefit of our credit department at no additional cost.
- Allows clients to take advantage of purchase discounts.
- De-leveraging effect.
Our Competitive Advantage
- Our fees and rates are typically much lower than other factoring companies (often more than 50%lower) in the industry.
- Our policies and procedures are under constant scrutiny by regulatory agencies resulting in a more professional approach with customers than some competitors employ in the factoring industry.
- Debtors can continue making payments to the name of your bank.
- We do not compete for any banking business. Non-compete language is included in the formal referral agreement.
- All notification to debtors is presented on your bank’s letterhead.
- The referral partner has the ability to win ancillary bank services and a long-term relationship with prospective customers that would otherwise not qualify for traditional bank financing.
- We offer flexible contract terms (90-days to 12-months).
- Our pricing is calculated from funding date vs. invoice date (many competitors charge from invoice date).
- We allow the customer to factor as needed. The customer does not have to factor every invoice. We do not have minimum requirements or unused fees.
- We will waive wire fees if the company referred maintains a depository relationship with the referral source.
- We will waive the early exit penalty should the company be approved for a traditional loan with the referring bank