Accounts Receivable FAQs
What is Accounts Receivable (AR) Funding?
Accounts Receivable (AR) Funding is a widely used and accepted financing tool for all types of businesses that extend credit to their customers. AR Funding occurs when a business sells Accounts Receivables or invoices at a discount. As this is not a loan, no debt is recorded on your balance sheet.
Can I use this service, even though I may currently have an outstanding bank loan or line of credit with First Horizon Bank?
Yes, in most cases. If you currently have a loan outstanding, you may have pledged your Accounts Receivables as collateral. If this is the case, United Capital Funding will work with you and First Horizon Bank to structure a Subordination Agreement.
What information does United Capital Funding need in order to start the Accounts Receivable funding process? What does it cost to apply?
It is simple to apply, either with your professional First Horizon Bank Relationship Manager, at your local branch or securely at www.ucfunding.com. United Capital Funding has a simple 2 page Application. They will respond with an answer the same business day they receive the completed application.
Unlike many other firms, there is no Application fee. There are no other "hidden" fees either. They don't charge a documentation fee, setup fee, or origination fee. This illustrates their desire to treat you fairly and quickly in the Application process.
Do I need to sell all of my approved Accounts Receivables? Is there a minimum volume required?
No, you elect which client, and which invoice to sell or factor. If you choose to do so, you can sell all of your approved Accounts Receivables. However, you are under no requirement to do so. Unlike many firms in the marketplace, United Capital Funding does not require a minimum monthly/annual volume of AR. This flexible structure is unmatched in the factoring industry.
I am very interested. How long will it take to begin factoring?
United Capital Funding is committed to moving as quickly, yet carefully with you through the funding process. They can usually fund your initial request a week after receiving a signed contract and all of the related documents back. After the initial funding, they fund on a next business day basis. Funds are wire transferred to your First Horizon Bank account as designated by you.
What does the factoring process cost?
It is very difficult to outline the 5 day term fee without first reviewing your completed Application. Unlike other firms, United Capital Funding does not have a "cookie cutter" fee schedule. All relationships are priced on an individual basis. United Capital Funding advances 80% of the Account Receivables they purchase, with the balance [less the professional fee] paid at collection. United Capital Funding prefers to structure their professional fees on a 5 day pricing window, not a 30-day term. This is more equitable fee structure for you, the client. Their fees are charged on an "as used basis"; so you only pay for funds you use.
What if my customers are not "local"? Are there any geographic restrictions?
United Capital Funding can acquire your Accounts Receivables from approved customers anywhere in the United States.
How can I receive more information on the professional Accounts Receivable (AR) funding services provided by United Capital Funding Corp.?
You can visit a First Horizon Bank branch, with your First Horizon Bank Relationship Manager, or United Capital Funding would also be happy to meet with you at your office, plant or facility at your convenience. United Capital Funding can also be reached via their website; or email. Their telephone number is 877-382-3228, and their fax is 813-433-5304. Their website also contains additional information for your review, as well as background information on the ownership of their firm.
Thank you for considering having First Horizon Bank and United Capital Funding serve you and your funding needs. We believe that our Accounts Receivable funding services can help you continue on the road to success for your business.
