Over 18 Years in Business
Recent Transactions
$750,000
Long Haul Trucking Company
$1.2 Million
Oil Field Hauler
Factoring Company in San Antonio Texas
Factoring Rates at 0.69% to 1.59% Click Here For A Quote
- No Financials or Setup Fees
- Custom Rates Available
- 3 to 5 day setup
Financing Receivables
Receivable Factoring is used by San Antonio businesses to convert sales on credit terms for immediate cash flow. 1st Commercial Credit adopts a quick and simple approval process and expedites initial funding in 3 to 5 days.
Purchase Order Funding
1st Commercial Credit offers purchase order financing solutions to meet your trade financing needs. P.O. Funding is suitable for any wholesaler, reseller, importer or any company that buys and resells goods in San Antonio.
Financing Payables
1st Commercial Credit offers credit facilities for buyers that need to extend payment terms to suppliers. A digital platform was designed for suppliers and buyers to approve and pay invoices online with optional early payment discounts.
Is Your Company Growing Faster Than Your Cash Flow?
1st Commercial Credit helps San Antonio based businesses by offering invoice factoring services, short term transactional funding, purchase order finance and many other forms of cash flow and supply chain finance solutions.
Most Popular Industries We Fund in San Antonio Texas
Cash flow can be a major challenge for small and mid-sized San Antonio based businesses, especially when the company doesn't get paid immediately after delivering their product or service. Accounts receivable factoring is a common type of commercial financing that helps your business access capital right away. If you're looking into loan options, you should understand what accounts receivable financing is, how it works, and what the advantages are.
San Antonio Businesses Grow with Accounts Receivable Factoring
San Antonio is a place of limitless opportunity with a unique history and culture, infused by productivity and growing prosperity for businesses and careers in today's most promising industry sectors.
Accounts receivable is the amount owed to a business by customers who have not yet paid. Many businesses bill customers by invoice, and there can be a gap of weeks or months between the time the product or service is provided and when the customer pays. Accounts receivable is listed on a company's balance sheet as an asset.
Accounts receivable financing provides capital to a company based on the company's accounts receivable. This allows companies to get immediate access to the cash they were due to receive from customers in the future.
1st Commercial Credit has financial resources to help San Antonio based businesses, including nationwide and foreign businesses finance their transactions with San Antonio buyers and sellers. We have available unique financial solutions that help finance the supply chain that may include invoice factoring, purchase order financing and accounts payable financing programs
We are a flexible Texas Factoring Company when it comes to financing your accounts receivable. Small to large companies can pledge their receivables and obtain a line of credit using their unpaid invoices as collateral in only 3 to 5 working days.
Rates at 0.69% to 1.59%
Over 3,200 Clients Funded
- Fast Approval Process
- No Up Front Fees to Set up
- No Financials Required
- Low Credit Score Accepted
- 3 to 5 Day Initial Setup
- Free Invoicing Software
How Does Accounts Receivable Factoring Work?
Accounts receivable financing can be structured in a few different ways. The two main types of accounts receivable financing are asset sales and loan agreements.
Asset Sales
The asset sale process is sometimes called factoring, and financing companies that use this system are called factoring companies. During an asset sale, a business sells its accounts receivable to the financier. The financier provides the business with capital to replace the value of the accounts receivable. Then, the financier takes over the invoices and becomes responsible for collecting the amounts owed.
Most factoring companies will only buy short-term receivables, and they usually steer clear of defaulted receivables. They want to minimize the risk of losing out on payments, so they may only be interested in companies with recent invoices.
The terms of the agreement can vary depending on the size of the sale and the risk involved. The financier can pay up to 100 percent of the accounts receivable balance up-front, but most companies will pay around 80 percent. The financier may ask for the company's financial records or credit history as well as details about the invoices they're buying.
Once the financier verifies the invoices, they will send the funds to the seller through a wire transfer or direct deposit. This process usually happens very quickly, and businesses can expect to receive their funds within one business day of verification.
The financier will pay the remainder of the balance when they receive the payments from the customers. However, they will subtract financing fees from this amount. Most factoring companies charge 3 to 5 percent of the total invoice value.
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Receivable Financing Rates
Financing Rates at 0.69% to 1.59%
- Quick Approval Process!
- No Financials up to $350k
- Easy Set-Up in 3 to 5 Days
- Over 18 years in business
Loan Agreement
Another way to structure accounts receivable financing is with a loan. In this situation, the financier provides an advance on the accounts receivable balance, but the business does not sell the invoices to the lender. Instead, the business repays the amount as they receive payments from their customers.
Accounts receivable loans can be secured with the invoices used as collateral, or they can be unsecured. Like asset sales, the terms vary depending on the circumstances. Lenders rarely offer a 100 percent advance on the accounts receivable balance. Most loans will amount to 70 to 90 percent of the total value of the invoices.
Lenders usually charge 2 to 4 percent of the loan's value in fees each month. The APR for accounts receivable loans can be significantly higher than bank loans, but many small businesses prefer them because they provide such fast access to cash flow.
Selective Receivables Factoring
Selective factoring can be a good option for businesses that need smaller amounts of capital. They can receive the cash flow they need without having to submit all their accounts.. It also isn't included on the balance sheet, so it doesn't affect debt ratio.
Why Choose Us?
Accounts Receivable Financing is our Business.
- $10,000 & up to $10 million Facilities
- No Financials Required
- Set up in 3 to 5 working days
- No up-front fees - No hidden fees
- No facility fees - No Audit Fees
- We Make Same Day Decisions
- No Monthly Minimums
- No Invoice Minimum Fees
- Financing Rates at 0.69% - 1.59%
What Businesses Qualify for Accounts Receivable Factoring?
Different lenders have different requirements for approving accounts receivable financing. Factoring companies can be choosy about which businesses they work with because there is never a total guarantee that customers will pay. Financiers may consider the following information when determining whether or not to work with a business:
- Size and age of company
- Credit history of business and business owner
- Risk level of customers
- Age of invoices
Lenders prefer working with businesses that have short-term invoices in a low-risk industry. Like with other types of loans, a poor credit history can prevent a company from qualifying.
Popular Industries We Factor in San Antonio
- Information Technology and Staffing
- New Energy
- Life Science and Healthcare
- Aerospace and Aviation
- Military and Defense
- Financial Services
- Advanced Manufacturers
Latest Cash Flow Management
San Antonio Office
700 N St Mary's St Suite 1400
San Antonio, TX 78205
Email: San Antonio Office
Call: +1 (212) 202-2327
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