Guitars - Financing - Recruiting - Project Management

Eduardo Ramirez -

MLO NMLS #1086161 California and Minnesota - Approved-Inactive

Guitars - Financing - Recruiting - Credit Data - Business Loans - Point of Sale Systems - Invoice Factoring 

Factoring is a financial mechanism that originated with the Mesopotamian culture. Its effectiveness has been proven over centuries of successful transactions. 
With today's technology it is faster than ever to get paid and move on to run the business: Manage investments and expenses. The factor buys your account receivables, pays you within 24 hours, and collects from your customers.  We work with many factoring companies to give our customers the most appropriate solution for their unique requirements​



The Factoring company has the expertise and tools to evaluate the creditworthiness of the sellers customers.  Credit is granted to customers based on their credit strength and not on the sellers'.  The factor assumes ownership of the accounts receivables and all the risks associated with it if the transfer is made without recourse, the seller relinquishes any title of the sold receivables.  


  • Factoring is the oldest form of business funding.
  • It’s a billion dollar industry.
  • Factoring is a great way to grow your business without giving up equity or creating debt
  • Factoring companies look at your customers ability to pay their invoice and not your ability to pay back a loan
  • It is the fastest way to grow your company
  • It can help you monitor your customers credit worthiness and help you make sound credit decisions
  • Factoring helps you grow your business with your own money.
  • It turns your Accounts Receivable into CASH.
  • Factoring can help a business rebuild its credit.





  • Typical advance rates are from 80% to 95%. This is determined by industry, the likelihood of a short payment, the customer's credit worthiness and the overall risk associated with the account.
  • Factoring discount rates range from 1% to 3% for 30-days. This rate is determined by volume. If the invoice takes longer than 30-days to pay then a fraction thereof is charged for every 10 or 15 days thereafter. We cannot factor invoices that take longer than 90-days to pay.
  • 12 month terms are typical in the industry but this can be negotiated.
  • There are no monthly minimums and you are not required to factor every customer or every invoice.
  • There are no set-up fee’s
  • We cannot factor invoices that are contingent, on consignment or are guaranteed sales. All sales must be final and can not be paid when paid or have milestone billing.
  • We cannot factor invoices that arise from software or are billed to a 3rd party (i.e. Insurance)
  • Owners are required to sign a personal Guaranty
  • We can only buy receivables from credit worthy customers who are located in the USA or Canada.
  • We are building a network of factoring companies to help our customers have better options. 

A business will consider factoring accounts receivable to meet its present and immediate cash needs.  Factoring accelerates access to cash and eliminates non-payment risk. Factors have the cash, special skills, and tools to evaluate your customer's credit worthiness. Why take a unnecessary risks?

Factoring is not the same as invoice discounting. Factoring is the assignment of the receivable, whereas invoice discounting is a borrowing that involves the use of the accounts receivable as collateral for the loan. Factoring requires a notification to your customer of the assignment while invoice discounting does not.​

Factoring is like a credit card where the bank (factor) is buying the debt of the customer without recourse to the seller; if the buyer doesn't pay the amount to the seller the bank cannot claim the money from the seller or the merchant, just as the bank in this case can only claim the money from the debt issuer.
However, If the factoring transfers the receivable with recourse, the factor has the right to collect the unpaid invoice amount from the transferor (Seller).