In the factoring industry, virtually all factors will employ BDOs (Business Development Officers) who will market the firms financing products and BDOs are compensated through a salary plus commission override. What is relatively unknown is that factors additionally seek out professional freelance brokers to do exactly the same job as a BDO. The difference is, independent brokers (known as freelancers) do not earn a salary but instead, earn a higher rate of commission.
There are no licenses required to be an industry freelance broker and virtually no paperwork required to submit a client referral to IACFB or any factor.
Brokers, consultants, bloggers, home-based entrepreneurs earn RESIDUAL, LIFE-OF-ACCOUNT commission income. Get into factoring with Campus IACFB training and broker support aids.
As a profession and especially as a home business opportunity, becoming an independent factoring broker and industry professional almost has not equal. It naturally has all the exciting benefits of any business where you are your own boss and call all the shots, but it has one other thing that sets it apart from almost all other home business opportunities. And that is, RESIDUAL COMMISSIONS.
Simply put, unlike a normal commission that is paid to a provide for work or referral only once, residual commissions are paid on a continuous basis (usually monthly). One industry that is famous for paying residual commissions is the life insurance industry. Another is factoring and there is a major difference. In the insurance industry, your residual commission payments typically decrease as the insurance policy ages. In factoring, your residual commission payment typically grow as the client’s business (the one you referred) also grows.
When you submit a client to IACFB or any factor, that client will factor it’s invoices each and every month for immediate cash. Once in place, a typical factoring arrangement almost always lasts for years. Often 5 years and longer. In fact, it is not unusual to have a small business client use factoring on almost a permanent basis. As the “Broker of Record”, you will receive a portion of the factoring fees earned every month and may well enjoy those payment for 5 years, 7 years, 10 years or even longer.
It is very common for bookkeepers, accounting professionals, and lending officers to send occasional referrals to factors. Most do not actually work for this business. More often, it simply falls in their lap because of their current vocation. Like any referrer, however, they are paid a residual commission as broker of record.
Professional factoring consultants are quite different and are not satisfied with just the occasional deal. Just like a factor’s in-house BDOs, independent brokers will build books of business with 20, 30, 40 or more accounts and in doing so, develop a healthy six-figure residual income. And Campus IACFB is the nation’s most affordable factoring broker training facility that teaches how how to do just that!