Cit Commercial Finance and Factoring Customers, What now?

If your a cit factoring customer your most likely tryingin house as clients.  The important thing to remember
to determine how to proceed now that your creditis to make sure you have a plan in place should CIT
facility is with a company that has filed for chapter 11commercial finance decide to no longer provide
bankruptcy.  If you have not already found a newfactoring services on your companies accounts
funding source you should be talking to new lendersreceivable.  Invoice factoring is a great tool, but it's
and factoring companies now.  Some of the CITalso a cash flow strategy that can cause a major
commercial factoring clients may qualify for loans withhurdle for a company if they expect financing on
traditional banks, but many companies that really needinvoices and then find out no funds are available a few
the funding will not qualify for loans with a bank as thedays before payroll is due.
credit quality of cit customer base will not fit for manyMost CIT factoring customers will not have trouble
banks underwriting criteria.finding another accounts receivable financing solution
Capital Quotes LLC and a few other commercialas long as they look in the correct places.  Traditional
finance consultants are working with cit factoringbanks can waste a lot of time evaluating a deal that
customers to help these organizations find newthey cannot approve.  If you have been using the cit
sources for accounts receivable financing at rates asfactoring program you would be best served looking
close as possible to what cit was offering.  You candirect at lower cost factoring companies and asset
contact this company and find out your options withinbased lenders.  The best way to do this is via a small
a day or less.  They do not charge any consultingbusiness lending consultant that specializes in factoring
fees and work with over 50 accounts receivableand knows exactly which factor can provide a solution
finance companies.for your needs.
Many of the cit commercial loan customers haveIf your a current cit factoring customer I hope you
discovered more options available then they expectedhave some back up plans available now.  If you do
after getting the news.  My expectation is that cit willnot you should be able to get some quickly if you
only focus on a few specific industries and this will limitcontact an expert in your field.
how many if any factoring customers they can keep