Pros

The first, and biggest, advantage that Universal Funding offers is the lowest rates out of any of the companies we reviewed. Universal Funding’s minimum rate is .55%, which is incredibly low. Moreover, they offer some of the highest initial funding out of the companies we looked into, as much as 95%. They give approval on invoice factoring applications within 24 hours, and offers businesses a dedicated advisor, which is one of the reasons why their customer support is so well regarded. Additionally, Universal Funding does not have any commitment requirements, so businesses can factor invoices they’d like to without having to worry about meeting a minimum. They do not charge a startup fee, but customers should be wary of their termination fee.

Cons

Everything isn’t quite perfect is Universal Funding Corp. They have a low ceiling on how long accounts can be delinquent, 45 days at most. This means that if you’ve got customers who are slow to pay, Universal Funding may not be willing to factor your invoices. Finally, they only offer recourse factoring, which means you must buy back any invoices that they aren’t able to collect on. This can put a new or growing business in a pinch if a major invoice can’t be collected on.