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
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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
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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) 686-1922