To get a job in the factoring industry, it might first be a good idea to get an educational background in a field such as finance, accounting, or management. While an academic degree in one of these fields may not be necessary to get a job in this industry, many professionals believe that it can make you a more desirable job candidate. Aspiring factoring professionals who wish to start their own businesses can earn the trust of potential clients when they list academic degrees in their lists of credentials. In some regions, official organizations might offer factoring industry certification to qualified professionals.
The factoring industry describes all of the third party businesses that provide cash flow to client businesses that may have trouble establishing lines of credit with traditional lenders, such as banks. Most often, factoring businesses purchase accounts receivable or invoices from client businesses. Client businesses normally use the money they receive for their invoices to pay workers and invest in necessary equipment and materials.
Most professionals in the factoring industry have an aptitude for dealing with finances. It can be helpful to learn basic mathematics and accounting principles. Some factoring experts believe that a knowledge of probability theory, which predicts the chances of certain events occurring, can help factoring professionals to make smarter decisions.
Aside from a formal education, real world market experience also can be helpful for an individual hoping to enter the factoring industry. Professionals in this field often perform financial transactions based on reputations or credit ratings of various consumers and service providers. A factoring professional can benefit from experience as a financial lender or broker.
Many people who end up in the factoring industry begin their careers in entry level positions at banks and financial firms. You might find it beneficial to learn the jargon and go through processes typical of lending and brokering professions. This kind of entry level experience also can show future employers that you have interest in pursuing a factoring career.
Once you have gained a strong understanding of basic financial or accounting principles and have gained some real world experience, it might be time to compose a resume. This is a document, normally no longer than a page, that you distribute to potential employers. Employers who are interested in your resume might call you in for an interview. When responding to an ad for a specific factoring job opening, it can be advisable that you also give a cover letter, which explains your interest in a position and describes your qualifications.