Calculating your proposal
Click here if you have a proposal that lists a Prime Rate.
For some business owners, the terms we use in our proposal (Expression of Interest Letter) are new and may be difficult to understand. Below is a list of terms mentioned in your documents and its definition related to our services.
|accounts receivable funding||The process of factoring or invoice financing. (Read What is Factoring?)|
|accounts receivable management||The procedure of ensuring invoices are collected in a timely manner by servicing the invoice and checking in with the customer.|
|advance rate||The percentage of the full invoice amount that is transferred before the customer makes a full payment.|
|expression of interest letter||The proposal that details the rates that a client will encounter if approved for factoring.|
|factoring fee||The fee associated with factoring an invoice, the factoring fee works jointly with the factoring fee period.|
|factoring fee period||The time increment associated with the factoring fee.|
|maximum funding relationship||The maximum dollar limit of the total unpaid balance that a client can have factored at one time.|
|minimum volume||The lowest amount of funds that can be factored by a client.|
|qualified accounts||The customer (business or government entity) whose owed invoices a client can submit for factoring.|
|notification||Notification is the process of informing a client’s customer that payments should be directed to our secure lockbox facility. Notification is completed by our operations team during the onboarding process and any time a new customer is added. This is considered ‘full notification.’|
|verification||The verification process occurs after a client submits an invoice for factoring. We review the invoice and request that the customer that owes this invoice confirms the information on the invoice is correct and is approved for future payment to United Capital Funding. This ensures accuracy during the funding process.|