Accounts Receivable (AR) financing is a funding option that allows businesses to convert their unpaid invoices into cash. This can help improve cash flow and provide financial flexibility.

AR financing involves selling your unpaid invoices to a funding company in exchange for a cash advance. The funding company then collects the payment from your customers and pays you the remaining amount, minus their fee.

AR financing can benefit businesses of all sizes, but it's particularly useful for those with long payment cycles, such as wholesalers, manufacturers, and distributors.

Yes, you can still collect payments from your customers if you use AR financing. The funding company will simply take over the responsibility of collecting payments on the invoices you choose to finance.

The cost can vary depending on the funding company and the specific terms of the agreement. Generally, fees range from 1-5% of the invoice value.

The time it takes to receive funding can vary depending on the funding company and their approval process. However, many companies offer funding within 24-48 hours once you’ve been approved.

If your customer doesn't pay the invoice, the funding company may pursue collections on your behalf. However, it's important to choose a reputable funding company that has a strong collections process.

Yes, many funding companies offer AR financing for international invoices. However, the terms and fees may differ from domestic invoices.

It can be a good option for startups that have unpaid invoices and need a quick infusion of cash. However, startups should carefully consider the fees and terms before using AR financing as a funding option.