Leasource partners with a direct lender whose financial product is an asset-based Revolving Line of Credit using accounts receivable as the funding base. An Account Receivable Line of credit is not new – but our approach is because: It’s a more customer friendly product than the competition.   It’s more like bank financing and priced more competitively than factoring.   The credit decision is based in large part on the company that owes the money due on the invoice, not the borrower.   Lines of credit start at $50,000 to $1.Million (or more).   Terms are typically 12 months with automatic renewal (there is no need to clear the line once a year)     Cost is typically prime plus 1 to 3% - determined by aggregating the risk and the administration required.     A 1% commitment fee per year on the line per year is required, plus a monthly administration fee.     A term sheet is offered to clients before any requests for a commitment fee.     Advance rates range from 70 to 85% of the eligible A/R   Fees are calculated on the actual cash borrowed and not on the face amount of the invoice - which reduces the borrowing cost. The loan balance is constantly repaid to its lowest level by the natural collection and retirement of paid receivables, which saves money. We often approve 100% of invoices from single account concentrations (major customers, primary source of income). There are no reserves, so unlike the factoring industry, clients receive the full amount of their invoice collections the same day they are received. Established clients can generate a customer invoice one-day and get money against that invoice the next day - by direct deposit or wire transfer - when the request is made by 11:00AM online. Unlike factoring – your customers are not required to make their checks payable to the lender – so the process reduces the likelihood of customers becoming concerned about financial stability. We can establish new account relationships within a week’s time (once we receive the requested documentation). Benefits to customers include: Smoothing out cash flow cycles Taking advantage of vendor quantity discounts Purchasing equipment or necessary supplies A larger line of credit than traditional sources Avoiding unnecessary dissolution of equity (selling shares) Capitalize on opportunities requiring cash Develops a continuous source of working capital Replaces higher cost factoring fees Geographical Limitations: At the present time we are limiting this service to the seven Western States.