FAQs
1. What is the difference between Capital Advantage and factoring?
- Unlike traditional lending methods such as factoring, Capital Advantage allows banks to retain the customer relationship and take control of revenue stream.
- CBS Capital Advantage is less intrusive and generally less expensive than factoring. Rather than handing customer loans to a third party, you have control over the loans and, thus, take advantage of income.
- The customer retains collection responsibility of their Accounts Receivables.
2. How does Capital Advantage compare to other products available?
- Training and support from bankers who designed and use the product
- Less expensive than other customized applications
- Better integration than "off the shelf" software
3. What are the benefits for your bank?
- Diversify income stream
- Increases DDA and loan balances
- Enhanced profitability and increased efficiencies
- Transactional integration into bank's core operating system
4. What are the benefits for your customers?
- Less expensive than traditional factoring
- Increases DDA and loan balances
- Ability to transform from Capital Advantage to traditional loan products
- No long term contracts
5. How can Capital Advantage mitigate risk to your bank?
- Your bank has control of repayment stream via lockbox arrangement
- Sample policies and procedures manuals provided
- Retention and access to historical information assists in underwriting
- Comprehensive portfolio monitoring provided
Contact Us:
CBS Directory: (432) 614-3860
