udging from the interviews and
articles in this, The Secured
Lender’s Factoring Issue, factors
have a lot to smile about. One
factoring executive even said
2009 was his best year ever.
Larger factors have benefited
from the struggles of some
of their competitors whose
parent companies have suffered
factors have seen increased
business due to troubled banks
being unable or unwilling to
lend to smaller businesses.
Of course, we wouldn’t be giving you
the full story if we didn’t cover the
downside. For factors who are not
bank-owned, access to capital has been
the biggest obstacle to overcome.
Overall, cautious optimism seems to
be the feeling among factors and asset-
based lenders for 2010. Indeed, there
are signs of economic growth, albeit
small ones. The Commercial Finance As-
sociation’s Quarterly Asset-Based Lend-
ing Index, Q4 2009, revealed continued
stability and signs that U.S. businesses
are seeking alternative sources of
stable funding. In the fourth quarter of
2009, total committed credit lines grew
by 1. 2 percent among asset-based lend-
ers, while 50% of respondents reported
an increase in new credit commitments.
Factors won’t want to miss CFA’s event designed solely for
entrepreneurial finance and factoring senior executives,
the 20th Annual Entrepreneurial Finance and Factoring
Conference, May 18-20 at the W Dallas Victory Hotel in Dallas.