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Frequently Asked Questions

 

Q: What are the benefits of Account Receivables Funding?

There are several reasons to sell your receivables, they include:

  1. Get Cash Quickly- Generate cash flows now to pay for immediate expenses.

  2. Avoid the Effects of Inflation- Time erodes the buying power of money, and getting the cash owed to you now will allow you to collect the full value of your earnings.

  3. Avoid Losing Interest Yield- Rather than earning a lower interest rate on the current income stream you own, you can sell your note for less than face value and earn a higher interest rate from other investments.

  4. Lower Your Risk- Receive your money upfront to avoid the risk of delinquency.

Q: How long will it take to receive my cash?

Once a client provides all of the appropriate information, a typical cash flow financing transaction takes less than 14 business days to process.

 

Q: How much do your services cost?

Our service fees are paid directly by the factoring agent who purchases your receivables or notes. Your overall factoring costs will vary and are based on both the type of cash flow financing and the fees charged by the funder. DGN will strive to find the most cost-effective buyer for your receivables. Please fill out one of our online applications or contact us for a specific quote on your company’s cash flows.

 

Q: My credit isn’t great, can I still qualify for Accounts Receivable Funding?

In assessing your eligibility to factor accounts, DGN will examine the credit quality of your customers. Your company's creditworthiness will not necessarily become part of a decision to approve or deny your account. Instead, DGN Funding will focus on evaluating your clients to determine whether and how quickly they will pay their invoices.

 

Q: How does Accounts Receivable Funding compare to a bank loan?

In many situations, Accounts Receivable Funding is more appropriate than bank financing because it provides continuing cash flow without the requirement of periodic payments or interim payoffs. Accounts Receivable Funding, sometimes called Factoring, gives a business increased access to cash as sales and receivables increase and offers a dependable, continuing method of generating cash flows without the necessity of making separate loan applications. Additionally, a client’s ability to raise cash by Accounts Receivable Funding is based on the total Accounts Receivable, rather than on the traditional measures of financial strength and stability used by banks.

 

Q: I am interested in Equipment Leases, would DGN be able to facilitate this transaction?

Yes, DGN Funding is not limited to the income stream specialties indicated on the website. Please contact DGN Funding Services for complete information about the various ways we can generate cash flow for your business.

 

Q: Will receivables funding affect the status of current or future bank loans?

Generally, no. Receivables Funding only takes a security interest in your accounts receivable. Your assets are unaffected and available as collateral for other lenders and should not affect future loans. However, receivables funding may not be available in situations where banks have already taken a security interest in your accounts receivable. Please contact DGN Funding for specific information about your cash flow financing options.

 

1-877-865-7906
inquiries@dgnfunding.com

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