Unfortunately there isn’t any regulation of factoring brokers which means that anyone can call themselves an invoice finance broker and dispense advice whether they know what they are talking about or not. Poor advice may well work out very expensive for a company and in some cases by introducing a company to one of the poorer performing factoring companies the results of that advice could be terminal for the client as many of the factoring companies desperate for business are happy to sign now and perform the due diligence once the ink is dry causing untold problems if they find that not everything is to their complete liking
In this age of the internet there has been a large increase in so called “internet brokers” who are in reality nothing more than lead generators capitalizing on some web design skills. The lack of any form of regulation within the industry means that someone with little or no experience of the factoring industry can design a catchy website bandying about such terms as “experienced”, “independent” and “impartial” in order to convince an unsuspecting company that they are a worthwhile company to deal with, but in most cases they are just passing the leads generated onto someone else.
Please follow the link to find out the truth about so called independent and impartial factoring brokers