American Bank Business Finance blog article

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What is the Approval Process for a Factoring Facility? 

American Bank, N.A. and American Bank Business Finance make it quick and easy to see if an accounts receivable financing/factoring facility is right for your business, and our application process is fast and efficient if there are no existing Uniform Commercial Code (UCC) filings or other liens: 

  • We extend an invitation to apply following a discussion and determination of the need. 
  • An online system accepts the application and other required documents from you. 
  • Based on the application information, we may issue a proposal document within one business day of receiving a complete application. 
  • Once the proposal is signed, we underwrite the transaction within three business days. 
  • Approval of the factoring facility usually occurs within three business days. 
  • Document preparation, signing, and closing usually occurs within two days. 
  • Funding may occur as a part of the closing process for buy-out situations and within one business day of receipt of the first funding schedule.* 

Important things to remember about our process: 

  • No application costs or closing costs 
  • No personal assets pledged as collateral 
  • No depository relationship required 

*Subject to credit approval. 
© 2023 American Bank, N.A. • Member FDIC 

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