Invoice Factoring Sopranos Style: An Offer You Can’t Refuse

They don’t mess around Down Under. (Actually, I’m not sure if New Zealand is considered Down Under. If I’ve offended any New Zealanders or Aussies I apologize.) I read a newspaper article today in which a car repair shop in New Zealand threatened to send gang members to collect on a debt if a certain customer did not pay up.

Actually, he did not threaten to just send a bunch of thugs to the customer’s house. he threatened to sell the debt to some unsavory characters. Said the repair shop owner, “If he had just paid his bill it would not have come to this. I’ve done nothing illegal. It’s called ‘factoring’. The article then went on to explain exactly what invoice factoring was so the unenlightened would become enlightened.

I found this really comical. I’m sure that many readers were hearing about invoice factoring for the first time. And their introduction to the practice is to read a description of an invoice being sold to a “factor” that is a group of thugs that likely includes kneecapping in their collection techniques.

Hmmm. I guess this falls into the category of “notification factoring.”

To Notify or Not To Notify? That is the Invoice Factoring Question.

Actually, this really isn’t about whether notification is appropriate or not. It is really to provide a very basic explanation of the difference between Notification Factoring and Non-Notification Factoring. But I will leave that task to the experts.

TracyZ, of Factoring Investor, has presented an elegantly simple explanation of the difference between these fundamental components of the receivables factoring process. So read what she has to say. I couldn’t have said it better myself. Honestly, I couldn’t. Not even close.

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