Factor arrangements are usually one of the most cost effective forms of financing for companies.

Name: Factor arrangements are usually one of the most cost effective forms of financing for companies.
Brand: Quizplus
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Question

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Factor arrangements, where a business sells its accounts receivable (invoices) to a third party (the factor) at a discount, can provide quick access to cash but often come at a higher cost compared to traditional forms of financing such as bank loans or issuing equity.

Factor Arrangements Are Usually One of the Most Cost Effective