Factoring 

Brilliantly explained. Was looking for an explanation on factoring, and found the perfect video.

at the end of this video . i couldn't resist myself from subscribing to your channel. this was fairly a decent simplified explanation. even a common person who is not familiar with this economic stuff could understand. thanks and nice work

Simple and straightforward explanation. thanks!

After going thru so many videos..you finally resolved my issues on this topic..thx Super video..Best way to make things easier..and understanding.

you're a god's given gift in teaching,hats off to you..........

I'm from Brazil, and understand what factoring is better with your explanation in English, that the explanations of the video here in Brazil. Thank you.

Thank you so much!!! I am taking a intro to Business class and one of our assignments involves the concept of factoring. BLANK! The book does not provide nearly enough information about factoring. Thank you for taking the time to put this together.

It just sucks that when businesses uses factoring, it cuts into their profits. It seems to me that its like a check cashing place for businesses. Well done on the vid!!

Explained clearly. Thank you

Very comprehensive explanation. Thanks from Spain (Barcelona)

Thank you..... Easy to understand

Now I get it!!!!!!!!!! Great job explaining the relationship!!!

Great video! Actually understood it :) thank you!

Thanks for the clarification on factoring!

A very good class. Thanks!

thank you beautifully explained .

Thank you, very well explained :)

Thanks :) Helped a lot.

Excellent , thank you.

Just AWESOME sir ✌️👌👌

I would clarify one thing... In this relationship, it is not every month that the factor gives money, it is a percentage of every invoice. I think it is important to understand that fact.

the best explanation!

nice and simple explanation, I subscribed right away to your channel! thanks

I love your videos! I now have a whiteboard in my living room for my stock trading and it helps me,thanks! I also appreciate that your smart,I live in Las Vegas and I don't interact with many smart people here,thank god for the internet or I would starve!

thank u so much is this valuable

Thank you!!!

Thank you so much it is so much clear. But can you explain in other video what is reverse factoring and how its different than factoring

u r awsum....sir..!!

amazing mate Well, can you talk about invoice discounting. cheers

Good Explanation.

Excellent video

thank you :)

Good One ...!!!

Good explanation. But does it really matter after couple of initial months? When you keep buying materials and sell products your cash outflows will balance with cash inflows.

I am often in need of a factoring company that can factor Medical receivables. Very few factoring companies factor a Dentist's receivables or receivables that a practice is waiting on to get paid from an insurance company because the insurance companies pay significantly lower than the invoice.

It is very good idea and will be successful

tysm

nice sir

What's the difference between a factor and a loan shark?

Nice

It's a nice video, but it's not quite right... He forgot all about interest rates and provision... It has to be said that factor keeps a reserve in amount of 20% of the invoice, and after Nordstroms pays on time and in full, interest and provision is deducted from that reserve, and the rest goes to SB..

I have a feeling by the end of this video I'll be very badly needing a drink.

Good explanation!

How could you please explain me in more easy way. Thanks for this video.

So the long and short is that CIT and many other colosles should have have been split up for purposes of fire breaks a long time ago. Now we have a domino chain of monoliths.

How is the relationship between parties effected if say 1/4 of the shoes delivered are rejected by Nordstroms for defects (real or imagined)? Who sucks this up?

This video is not quite accurate since Small Business (SB) still assumes the risk. Here is how it works. SB assigns invoice to factor. Factor advances a % of invoice to SB, usually 70 to 80%. Amount with-held is called reserve. If Nordstroms fails to pay the invoice on time (usually 90 days) factor will close out the invoice by applying SB's reserve funds towards the unpaid invoice. If the invoice is paid on time factor returns the reserve balance to sb less factoring fees, usually 4%-6%.

You legend

I didnt hear anything about the risk of Ed when Sam takes a monthly cash advance but doesnt supply Nordstrom with the monthly 20 pairs of shoes. Seems like Ed takes the most risk while Nordstrom takes the least.

Thank you so much British Robert De niro

i still dont understand how factoring is a means of obtaining a greater cash flow

i need a drink now

I'm confused. So rather than getting 4000 back from Nordstroms, he gets 3500 back from Ed which is 500 less? How is that better? Why isn't Ed as much as a risk as Nordstroms? How can the shoemaker guarantee he gets any money back from either of these two?

You say Sam needs money to expand, but he will get 500$ less each month in the deal with Ed. That doesnt make any sense. If Sam need a stady income it should work out fine. But he wont get more money to expand in this way. or am I wrong?

you speak very fast ..... so with subtitle would be better ...

Who else came here for math -_-

why don't sam just collect his own money then he will be better off this is not good business for sam he has been going for a long time with 4,000 now he is only getting 3,500 so he has no chance of expanding cause he needs MORE money now he is getting less does the maker of this video work for a factoring company

thank u so much is this valuable

nice sir