One major advantage of factoring accounts receivable is that the selling firm receives money from its accounts receivable faster than if it waited until the customers paid.

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Factoring accounts receivable involves selling them to a third-party at a discount, allowing the selling firm to receive cash immediately instead of waiting for customers to pay. This speeds up the cash flow for the business, making it a major advantage.

One Major Advantage of Factoring Accounts Receivable Is That the Selling