How to Gain Product Knowledge as a Factoring Broker

The value of a consultant is usually based on the above-average knowledge regarding some type of product or process.  As professional financing consultants, factoring brokers and commercial finance consultants are no different.  From a business owner’s standpoint, the factoring broker’s client, there are two critical questions a professional broker must be able to answer…

Professional factoring consultants must be able to provide answers to both questions, and to do so, they must develop a certain level of product knowledge.  And, in the factoring industry, as with most others, knowledge is power.  The more knowledge you accumulate about all the various niche areas of factoring, as well as the many other sources of alternative small business finance that exist, the greater your worth as an industry professional.  And the great news is this.  If you are what can be considered a self-starter or mobile creative, you do not need to spend tens of thousands of dollars attending specialized training schools to develop your knowledge base.  Everything you need to initially enter the industry is readily available for a small fraction of that cost, along with some quality research time spent on the internet.  So if you’re ready, here’s where to begin building your base of industry product knowledge.

The IACFB’s Factoring 101 Broker’s Guide sets the industry standard for comprehensive training and support at a cost that virtually anyone can afford.  This 5-star-rated training guide provides everything those new to the industry will require to begin earning a share of our industry’s near-legendary residual commissions paid for referrals.  With over 200 pages, this text is the perfect learning tool for those entering the industry as a “referrer” and on a part-time basis.  The first half of Factoring 101 provides you with 100% of the extensive knowledge required to present factoring as a powerful business finance tool to owners in need of cash flow solutions.  The second half of the guide provides you with the marketing knowledge you will need to start your business the “right way” and begin earning your first monthly income streams as a referring broker.

Though there are some excellent “hands-on” training schools available to teach new entrants about the industry, the costs to attend such schools can often become an issue, with some high-quality schools charging more than $50,000 to attend.   Some industry entrants can afford such fees; others cannot.  But when it comes to truly affordable, yet comprehensive training for factoring brokers, nothing really compares to the training offered by the premier business finance broker’s association at IACFB, where Factoring 101 Guide subscribers can greatly expand their knowledge and get trained as a professional commercial finance consultant and be ready for business within a few short weeks.  For 2026, all six of the Academy’s expansive and comprehensive courses are provided free for all Amazon subscribers.

One of the greatest fears that new factoring consultants experience is that of being identified as an inexperienced “newbie” by other professionals in their community.  In reality, that is unlikely since most lending officers and accounting professionals know little or nothing about factoring and its power to address problems of cash flow in small businesses.  Still…the worry is there, and to combat the feeling of inadequacy, IACFB offers all of its professional members the opportunity to become factoring “Certified” by taking and passing the Class Marker Exam.

The Factoring 101 Certification Exam is designed to gauge your learning experience, level of knowledge, and general understanding of factoring and the asset-based finance industry.  The exam also prepares you for business and lets prospective clients know they are dealing with a professional.

For those brand new to the industry, one of the best ways to begin to gain some knowledge is to visit the websites of several factors.  IACFB publishes the Directory of American Factors and Lenders for our Freelance Brokers and Consultants.  This directory houses roughly 500 lenders in the database and is an important source of financing where brokers can always find the right source for the right deal…every time.  Below, however, we have included links to ten (10) popular factors’ websites.  Visiting such sites is an important learning tool as you will eventually need to build your own lender database.  As you explore the following sites, you will notice that each includes a menu item or tab that references the factors freelance broker program or partners program.

Launching a business as an independent factoring consultant is, without question, one of the most exciting and attractive home business ventures available to entrepreneurs today.  And most importantly, it is a home business virtually anyone can enter and succeed at some level, depending on their determination and perseverance.