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Faq

What is factoring?

“Factoring,” also known as “accounts receivable financing,” is an action in which a business sells its invoices to a third-party financial company. The “factor” then collects the payment on the invoices from the business’ customers.  Factoring allows businesses to build cash flow by receiving quick payment on their invoices, rather than waiting months for a customer to pay. Businesses are then able to fulfill new orders and pay employees.  Eagle serves businesses in various industries, including construction, transportation, manufacturing, and more.

Who uses factoring?

Any business, from large corporations to small family-owned companies can benefit from factoring. Eagle serves businesses of all sizes in various industries including construction, transportation, manufacturing, and many more. Many business look to factoring as a solutions to slow cash flow while others utilize the back office accounting assistance, debt protection, or the various other benefits of a true non-recourse factoring programs.

Where is Eagle located?

Eagle’s physical office is located in Tupelo, Mississippi. You can contact us here.

How is factoring different from a bank loan?

Factoring with Eagle differs greatly from a bank loan in that the business assumes no debt when factoring. When you take out a traditional bank loan, you pay interest on your loan and the money you borrow comes with a limit. Factoring with Eagle allows the amount of money you can finance to increase as your receivables grow. Unlike a bank loan, you can qualify for factoring with Eagle regardless of your credit score, as we are much more concerned with the strength of your customers’ credit. (They are the ones who will pay us, not you.)

What does factoring cost?

Eagle provides a customized fee structure for each client. Several variables (such as volume to be factored and quality of customers to be factored) are taken into account when providing a new fee structure to ensure the very best offer is made. Unlike others in the financial industry who have mastered the “nickel & dime” technique to hide fees, the fee structure provided by Eagle is the only fee charged to factor invoices. The question to ask is not “how much does factoring with Eagle cost” but “how much more can be made by factoring with Eagle?”

Can factoring help me obtain funds after a bank told me no?

ABSOLUTELY! Banks are notorious for only loaning money to those who can prove they don’t need it. We take great pride in finding a solution for you after a bank has told you “no”. Thanks to how Eagle operates, most of the reasons for a bank saying “no” are not even considered when making our decision. Not only will we find you a solutions, but we will do it quickly—almost always on the same day you submit your application documents. Speak with a representative today for a customized solution.

Can I still qualify if I do business in the U.S. and Canada?

Yes. Eagle serves both the U.S. and Canada.

How do I know if my customer is eligible for factoring?

Eagle provides a free credit check service for any customers you intend to factor. We only ask that you provide the basic information about your customer and a requested credit limit. We also understand that you need a response quickly. Our goal is to provide a credit response within 7-10 minutes from when we receive the request. If additional research is required it could take up to an hour to receive a response, but rest assured the time between when a credit request is received and a response is given is spend doing everything possible to provide an answer that will best protect your company and ours! Because Eagle knows that not every company was created equal, we are very lenient with our credit decisions and are able to approve 96% of the customer credit requests we receive. Once a credit check is performed on a customer, Eagle will continue to monitor the creditworthiness of the customer as long as they remain “active” in our system. Many customers in our database have been monitored by Eagle for nearly 20 years!

How long does it take to sign up for factoring?

Eagle understands that you need quick answers and our approval process is very quick! Our goal is to have you approved to factor with us on the day we receive your application and the supporting documents. Once approved by Eagle, we’ll send you the factoring agreement documents. Those documents can be sent via Email, fax, or mail. On the day we receive those documents back from you, we’re ready to fund. It is possible for the entire process to be completed in one day. Let your customer service representative know how quickly you need to be signed up and they’ll work at your pace.

How can factoring with Eagle benefit my business?

Factoring with Eagle will improve your cash flow, saving you valuable time and money. We alleviate the back office headaches by handling all of your collections and providing you with the funds you need to grow. Eagle pays for your invoice up front, accepting both progress billing or billing for a completed job – whichever is most convenient for you. Because we are family-owned and operated, we are able to customize your entire program based on your individual needs on a one-on-one basis. This will give you the solutions YOU need to grow and prosper.

How long does it take to get paid after submitting my invoices?

Eagle’s Top Flight factoring program offers same day funding at no additional charge. We ask that all invoice documents are submitted prior to 2:00 pm (CST) for same day funding. It is always our goal to process all documents for same day funding regardless of when they are received but due to bank cut-off times and invoice processing time we cannot guarantee same day funding for documents received after 2:00 pm.

How do I submit my invoices?

Eagle accepts invoices sent by mail, email, or fax. If your customer requires original invoice documents, Eagle will have to receive the original documents before we can process for funding, but for all others—the choice is yours.

If I have a past bankruptcy, is factoring still an option?

One benefit of factoring with Eagle is that your eligibility is based on the credit-worthiness of your customers rather than your own credit-worthiness. You will still be able to factor even if you have some credit issues.

If I have past due taxes, is factoring still an option?

YES! Eagle has teamed up with the best tax resolution specialists in the country to provide a solution to almost every tax issue. Regardless of if you have past due tax debt, un-filed taxes, or even a current IRS tax lien, Eagle can assist you with resolving your tax problems!

How do I learn more about Eagle? Do you have resources I can check out?

For a customized proposal, or to speak with one of our highly trained Customer Service Representatives, please contact us today at 800-483-7079! We take pride in not having any automated phone systes. During regular business hours your call will always be answered by a Customer Service Representative able to answer any questions you may have. Or, if you’d prefer, visit our “About” page and blog for useful tips and to learn more about all that Eagle has to offer.

What happens if a customer is unable to pay?

Thanks to Eagle’s true non-recourse factoring program, in the even that Eagle has funded you for an approved customer who is unable to pay, you are not responsible for paying us back. Eagle assumes the credit risk so you can remained focused on growing your business.

Does Eagle Offer A Fuel Card?

YES—Eagle is proud to provide our clients with fuel cards that are accepted at thousands of truck stops across the nation.

What is the difference between recourse and non-recourse factoring?

Recourse factoring means that you are forced to buy back your invoice if your customer hasn’t paid in a certain amount of time, meaning it is basically a short term loan. Most factoring services are recourse factors. However, here at Eagle, we provide TRUE non-recourse factoring. We protect our clients against bad debt by taking the risk.

Who will call my customers to collect payment?

Eagle’s friendly and professional team will handle collecting payments from your customers.

How do I keep track of the invoices I factor?

Eagle provides online real-time reports that keep tabs of each invoice you factor available to you anytime at your convenience.

I’ve heard factoring is only for troubled companies. Is that true?

Certainly not! ANY business can benefit from the convenience of factoring. By trusting Eagle’s accounting team with your invoices, you are free to focus on other aspects of your business WITHOUT the back office headache!

What happens if I no longer wish to use your services?

Unlike most factoring services, Eagle doesn’t lock you into a yearly agreement.  We would rather earn your business with customer service and efficiency than force you to factor by locking you in.

Do I have to factor all of my customers?

NO—unlike other factoring companies, you are free to choose which customers you factor.

What is the difference between factoring and a merchant cash advance (MCA)?

The biggest difference between factoring with Eagle and an MCA is that an MCA is actually a loan, and factoring with Eagle is not. With an MCA, the lender determines your borrowed amount based on your monthly sales volume, and an MCA charges interest rates and builds debt because you have to pay back the loan. Factoring with Eagle is not a loan, but rather an immediate payout that goes directly to the asset side of your balance sheet. Factoring with Eagle also gives you the added benefits of back office support, collections, and a guarantee of payment.

Does Eagle buy previously billed invoices?

YES—due to our commitment to customer service and providing customized solutions to each of our clients, we are happy to look at these invoices and see if we can provide funding.

What if my receivables are already pledged to another company?

While all factoring services require first rights to receivables, unlike the other factors, this is not an instant “no” from Eagle. We have successfully worked with companies to overcome this obstacle in the past, and would love nothing more than to work with you on it.

Does Eagle take a lien on my equipment?

NO—we separate ourselves from most of the other factors out there by not placing liens on equipment.

Will Eagle verify my invoices?

Yes! Verification of your invoices is just one of the many benefits of trusting Eagle with your account receivables. That’s another thing you can mark off of your to-do list!

Is there a minimum (or a maximum) volume requirement?

NO—Eagle provides customized solutions for each of our clients. Thus, unlike other factoring companies, we do not force you to factor a certain amount or put a cap on your growth.

How will I receive my funding from Eagle?

We provide five different ways of receiving your funds—many of them the same day.

How will I know if my customers’ credit standing with Eagle changes?

We give our clients daily updates on any customers who have been downgraded—just another example of our unwavering commitment to providing world class customer service to our clients.