Daily News: July 9, 2012

CIT Launches Factoring University

CIT announced the launch of Factoring University (CITFactoringUniversity.com), a first-of-its-kind website that offers a comprehensive education-based approach to the financial service known as accounts receivable factoring.

“As one of the leading providers of factoring services in the United States, we saw there was a need for greater education about factoring services. That is why we designed Factoring University, which is an online resource for small and mid-size business owners looking for information about this financing tool,” said Jon Lucas, president of CIT Trade Finance. “Factoring University provides a platform from which individuals can educate themselves on the benefits of factoring and related services, while highlighting the industry expertise and thought leadership of CIT’s executives.”

Factoring University offers a variety of exclusive content designed to highlight the benefits of factoring for companies that sell into retail channels of distribution. Visitors can view CIT client testimonial videos that feature executives from the apparel, textile and houseware sectors that explain why they use factoring and how it benefits their businesses, as well as an animated tutorial video, which easily explains, “What is Factoring?” Future videos will focus on, “How to Minimize Bad Debt Losses,” and “Managing Collections Efficiently.” In addition, Factoring University provides a list of Frequently Asked Questions and infographics that explain the factoring process, business solutions provided by factoring.

CIT said factoring plays a vital role in trade flows as it allows suppliers to rely on their factor to protect them against bad debt losses. In the event a retailer or wholesaler to which a supplier sells becomes insolvent, or financially unable to pay, the factor will pay the supplier for the full undisputed amount due on all credit-approved receivables.