Niche factoring still growing, but competition is stiffening. (re-factoring)

Daily News Record, February, 1995 by Rutberg, Sidney

Re-factors provide credit guarantees, cash advances, collections and other factoring services to smaller apparel firms, including those with sales as low as $300,000. Westgate Financial Corp Pres Bruce L. Cohen said that his clients, when they reach about $7 million in sales, graduate to NationsBanc, a larger factoring firm. Westgate, Cohen noted, can not match larger factors' interest rates.

NEW YORK (FNS) -- The re-factoring industry, which is only about 10 years old, has already begun to show signs of growing pains.

Re-factors (or niche factors) have filled the void left when the major factors merged themselves into giants that had little interest in dealing with small companies. Typically, the larger factors were not interested in taking on clients with less...

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