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Archives

Issue #30

2004.1

Jeff Callender’s new book, Marketing Tools for Small Factors and Consultants: A Hands-On Guide to Methods that Work, is due out this spring! He is in need of approximately 25 people to read and write a brief review of the book.

Those who write reviews will receive a free copy of the pre-published edition and a review form to complete. Forms are due back three weeks after receiving the book. Comments from reviewers will be used in marketing efforts when the book is published.

Those who would like to read the book and write a review should send an email to jeff@DashPointPublishing.com indicating your interest. Please include your phone, email and mailing address (no PO boxes). If you don’t have the time or inclination to write a review, please don’t volunteer! But if you do, your comments are very welcome and receive serious consideration in the book’s final preparation.

If you don’t want to write a review but would like to order a book now so you can be the first to get yours “hot off the press” next April, click the button below. Price is $17 .95 plus shipping ($3 Media Mail, $7 Airborne Express Ground).

Each issue we give away a free item from our catalog! Congratulations to Ben Siornicki who was the second person to email and won a free copy of Unlocking the Cash in Your Company eBook!

I’d like to thank all who email your replies...sorry I can’t reply to each of you. And now for the Free Give Away for this issue:

This time, be the fourth person to email
info@factor-tips.com (Subject: Free Give Away) and you will receive a free copy of the eBook, Factoring Small Receivables 6th ed. Good luck!

Jeff Callender
Editor

Attention small factors! Is your company included in the Factor Listing of SmallFactor.com? It can be a great source of referrals and it’s FREE!

What’s more, if you have a deal you can’t do, chances are someone on the listing will be interested in it. Find an appropriate referral and make the call. Bookmark the page!

The number of small factors on the Listing is steadily growing (nearly 50 and counting), so be sure you’re included. Recent additions include:

• Fairpointe Funding of Littleton, CO
• Assist Financial Services, Inc. of Madison, SD

Requirements are that you:

• are presently purchasing receivables (not just planning to, or consulting only)
• accept accounts which factor less than $10k per month.
• pay a 5% referral fee to SmallFactor.com when you book business through your listing without using a consultant.

The Listing’s purpose is to assist smaller factors who do not fund large receivables. (We may make exceptions for niche factors who specialize in trucking, construction, and medical receivables.) Companies with maximums over $500k are encouraged to use web site listings suited to these larger receivables.

To see the Listings which are sorted by State go to Listings. To be included fill out the form at Request Listing.

Links to listed companies’ web sites are provided. Contact each to learn the parameters of transactions they fund.

Each publication we announce the winner for that issue’s free drawing.

When you register to receive FactorTips you are automatically entered into a new drawing to receive an autographed free copy of one of the paperback books from The Small Factor Series.

The winner for this issue is Steve Grazzini of San Ramon, CA, who has chosen to receive Factoring Case Studies. Congratulations, Steve!

BluBeagle^TM Software Is Unveiled

Factor Solutions, Inc., of Florida has recently released its BluBeagle^TM suite of software for the factoring industry.

Taking a unique approach, BluBeagle^TM offers four separate modules (each optional) so users who can select only the software they need and save money in the process.

The release of this software puts very powerful computing tools in the hands of consultants, part-time factors, and full-time factors alike. Pricing grids for each module, the number of clients served, and the number of staff accessing the data make the software affordable for any size operation.

Below is information from the web site.

+  + +

Overview
The BluBeagle™ suite is an integrated business management software solution that gives consultants and small to medium-sized factors all the tools they need to track their mission-critical data in one intuitive, comprehensive, and powerful product.

BluBeagle™ offers an instant, Web-based database solution for consultants, factoring professionals and part-timers alike. Since it's hosted in a world-class data center, BluBeagle™ eliminates the high IT cost and complexity of maintaining and troubleshooting the software and hardware that other solutions require, while providing the highest level of security technology can provide. And this is offered at a price that literally any size operation can easily afford.

What's more, you need only a dial-up, DSL, or cable Internet connection to access BluBeagle™. Thus you can run your factoring operation from virtually anywhere: your office, your home, a hotel room on the road, even a sandy, sunny beach - your desktop computer, or even your PDA or laptop with a wireless internet connection, will connect you to literally all your data!

BluBeagle™ Features
BluBeagle™, the complete software package from Factor Solutions Inc. is made up of four modules, which you can mix and match to your needs. Upgrading to additional modules is easy and can be done at any time at a very modest cost. In this way, you are paying for and using only features you need.

The modules include:

ConsultBlu The Consultant Module (business management and client/project tracking tool) FactorBlu The Factoring Module (includes ConsultBlu™) AccountBlu The Accounting Module (direct and automatic accounting of all your transactions) SiteBlu The Web Site Module

Each module provides a unique solution to the needs of users, and together make up the most complete software package in the factoring industry. No other company offers software for consultants, a built-in accounting module, web site development and hosting, and many of the unique, built-in tools and benefits you'll find in BluBeagle™.

The first two modules are available separately or together. ConsultBlu provides an impressive array of tools and resources for independent consultants. When purchasing FactorBlu, which includes the consultant module, both independent consultants and Factors, as well as business development professionals of larger factoring companies, will become more efficient and effective with the many features provided.

BluBeagle™ provides these advantages:

• Affordable prices for any size factoring operation
• Modular design that allows you to buy only what you need
• 4 distinct modules for consultants, factors, accounting, your web site
• Easy, intuitive navigation and data entry
• Data that is accessible anywhere you can log on to the Internet (office, laptop, Palm Pilot, etc.)
• Automatic, comprehensive, and customizable reports
• Reports and forms accessible 24/7 to your clients, consultants, co-factors, and lenders
• Invoices and Schedules of Accounts that can be created and submitted online by client or factor
• A simple link from your web site to your data so clients can easily enter Schedules and invoices or see reports
• Powerful, quick-entry tools that make calculating and entering fee structures a snap
• Built-in links for credit reports and UCC service providers
• Integrated calendar
• All contact information at your fingertips anytime
• Automatic data back-up and total security
• Yearly subscriptions that include software updates at no extra charge
• Clear, thorough, and helpful online user guides and online help
• Free online demos that show exactly what the software provides

Plus these options:

• An integrated accounting system tailored specifically to factors and consultants
• A professional web site you can update without any web design or programming skills
• Built-in forms on your web site that input inquiry and application data directly into your system, without having to re-enter it from email text
• Optional technical support with your choice of how much help you want available

Annual Subscription 1st User License Per Add’l User License FactorBlu        for 1-5 clients $360 $105    for 6-10 clients $600 $175    for 11+ clients $1200 $350 ConsultBlu $120 $120 AccountBlu $120 $30 SiteBlu $250 N/A    Web site hosting $120 N/A Tech Support        Up to 5 hrs./yr. $350 $350    Up to 10 hrs./yr. $600 $600    Unlimited/yr. $1000 $1000

Note:

• FactorBlu includes ConsultBlu™
• SiteBlu price is a one-time-only design fee for a basic professional site, if purchased in conjunction with subscription to other module(s). Rates for web site design for "special" sites and/or without subscription to other modules are available upon request. Please call for information.
• Technical Support refers to access to personal phone support. Online support, manual and help desk are included in each module price.
• Sign up for a 1 year package (FactorBlu or ConsultBlu plus AccountBlu plus SiteBlu) at prices above, and save $30 on SiteBlu (i.e., the equivalent to 1 free month FactorBlu or 3 free months of ConsultBlu).
• Sign up for 2 years at prices above and get first 2 months free (excludes tech support, web site, and hosting).
• Sign up for 3 years at prices above and get first 3 months free (excludes tech support, web site, and hosting).

Further information, requests for an online demo, and details about each module are available at BluBeagle.com. You can also call (786) 243-7571 or email support@BluBeagle.com.

Each issue we feature the web site of one of our readers. Our purpose is to highlight the niches and expertise available within our community so that everyone reading FactorTips can make good use of them.

To request your web site be reviewed for this feature, drop an email to: info@factor-tips.com and put in the Subject line “Featured Web Site.”

This issue’s Featured Web Site is that of Multiple Funding Services, Inc., of Tequesta, FL. Take a look at their site by clicking the link below.

Multiple Funding Solutions

Ed. Note: In the last issue, Bruce Harris disagreed with an earlier issue’s comments about factoring with recourse. Ken Earnhardt, of KLT&J, Inc., has this perspective on Bruce’s comments:

“Bruce stated in point 3: ‘The transferor does not maintain effective control over the transferred assets through either (1) an agreement that both entitles and obligates the transferor to repurchase or redeem them before their maturity or (2) the ability to unilaterally cause the holder to return specific assets, other than through a cleanup call.’

‘If ANY of the 3 criteria cannot be met, then the company would need to record a liability for the transaction. Most routinely under "with recourse", item 3 is the sticking point.’

My thoughts about this issue are that the terms of the invoice, i.e. Net 30 days, are the maturity date of the invoice and to require recourse after that date is not in conflict with item 3 above.

My take on this issue is that my client is truly selling me an asset with a guarantee that the product (invoice) will perform as stated (within 30 days) and if it does not then my client will purchase it back from me. I don't know if this issue of ‘recourse’ has ever been tested in the courts; if it has I would like to know the results of the finding. This is why I feel that factoring with recourse is a purchase of an asset and not a loan.”

Ken Earnhardt
KLT&J, Inc.