FAQS

Does Nations Interbanc have a broker program?

Yes, Nations Interbanc is excited to work with a number of financial partners and business brokers to solve cash flow challenges for their clients. Please contact us for more information.

How long does the application process take to get approved?

The process typically takes 1-2 weeks, but it depends on how quickly you can get your financial and other underwriting documents to us. Our credit checks and other inquires can be done in a matter of days. Once we have your financing facility in place, we typically do your first funding within 24 hours.

Does Nations Interbanc provide purchase order finance?

No, we do not provide purchase order financing, although we have some great relationships we can introduce you to, if you are in need of PO financing.

How will I keep up with what is happening on my account?

You will have online access to our website to view any account activity financed customers and their invoices. You can view aging reports, fees and rebates owed to you, either at an individual invoice level or summarized at your account level. Of course, we are happy to jump on the phone to go over things with you as well, but our customers like the ability to have 24 X 7 access to their account information.

Does the Invoice appear on our letterhead or Nations Interbanc letterhead?

You continue to generate your standard invoices as you do today, with checks being made payable to your company name. The only thing that changes is the remittance address on your invoices will be changed to our Lockbox address so payments are sent to us.

Is there a minimum amount per invoice that Nations Interbanc will accept?

We don’t have a minimum per invoice, but we do ask that you send through a minimum of $5,000.00 per Schedule (per group of invoices). On the low end, most of our clients fund at least $50,000.00 per month however we don’t have a minimum.

Do I have to send through a minimum amount of invoices per month or per year?

No We don’t have any monthly or yearly minimums – we encourage you to only tap into our facility when you need it to meet your cash flow needs. If you don’t need an advance, we view that as a good sign as your business is healthy and funding itself. We don’t have any administrative fees for having a facility with us either, so you only pay for what and when you use it.

What happens if my customer does not pay?

First, we work very collaboratively with our clients on the collection of invoices in an attempt to avoid this situation (we view ourselves as an extension of our client’s AR/collections team). However, if a customer fails to pay for the goods and or services after an agreed upon certain period of time, Nations Interbanc will come back to you to get the obligation paid off. There are a few ways we do this — we collaborate with you to take it out of rebates due you, or future advances, or from invoices we have not financed (what we call “unfactored” invoices).

Will we be eligible if we are a new business and have little or no credit history? 

Yes, in many cases. Nations Interbanc funds many start-up technology and digital media companies and we are more interested in a company’s business model, who their customers are, and the payment history of those customers with you.

How much does it cost to factor?

Factoring fees charged by Nations Interbanc will vary, depending on monthly volume, average invoice size and quantity of invoices, the terms for payment you offer your customers, your customers’ creditworthiness and your industry. Generally, they are between 1.75% and 2.25% per 30 days.

Do I have to make a long term commitment?

No, we don’t believe that we need to handcuff clients with long term contracts. We typically require at least a 6 month commitment, but are very flexible beyond that initial term.

Do I have to factor all of my Invoices?

No, there is no need to factor ALL of your invoices. We work collaboratively with you to choose which customers and the amounts to finance for each. In fact, we prefer you do not finance all your receivables through us, but only a portion that make sense – typically some of your larger customers who cause you cash flow “pain”.

Are there types of accounts receivables that you will not fund?

We generally do not fund international, medical, construction or transportation industry receivables. These types of companies and invoices are specialized in nature and require unique underwriting and processing skills.

What companies will Nations Interbanc fund?

Nations Interbanc funds companies across many traditional “brick and mortar” industries, however we have a special expertise in funding technology, software, digital media and social media companies. In making our decisions on which clients to establish a financing relationship for, we are most interested in who our clients’ customers are, the customers’ credit-worthiness, and what the customer’s payment history has been with our client.

How does the Invoice Financing (aka, Factoring) process work?

Once you have a financing facility with us, you simply present an invoice or a group of invoices to us via a one page Schedule, along with copies of your invoices, and then we typically advance you 80-85% of that total Schedule amount within 24 hours. Once your customers pay the full invoice amount to Nations Interbanc, we refund or rebate the remaining 15-20% to you, less our fee.