Many medical transcription service owners (MTSOs) tend to shy away from factoring because of the notion that it is more expensive than a bank loan. To be perfectly honest, factoring is more expensive than a traditional line of credit; however, the age old saying You get what you pay for comes into play when comparing and contrasting a bank loan to accounts receivable funding.

Medical Transcription Factoring Has a Quick Approval Process
When it comes to lending money, banks move slowly. Even in the best of times, borrowers are required to sign mounds of paperwork, provide extensive historical personal and business information, and then wait to be approved by a loan committee. With the current credit crisis, the requirements are stricter and waiting times have increased dramatically.