“FACTORING FINANCIAL SERVICES,
ACCOUNT RECEIVABLES FACTORING COMPANY
AND MY CUSTOMER”

If Praxis purchases my company's invoices will they bill my customers?

A. No. You invoice your customers as usual and send a copy of that invoice
to Praxis. After verifying the invoice, Praxis will make an immediate cash advance
to your company. Then, either you or the Praxis team will follow-up with the customer to ensure accurate and prompt invoice payment.

When I use factoring financial services from Praxis, where does my customer send the payment and to whom is the payment written?

A. Since Praxis is purchasing your invoice, not loaning you money against the invoice, the payment is written and mailed to Praxis, the account receivable factoring company, at its P.O. box address.

How will my customer know to send the invoice payment to Praxis?

A. When you begin factoring invoices with Praxis, your company sends a letter-crafted with our help and approved by our team-to your customer identifying Praxis as your factoring company and asking them to accept all our requests for payment on your behalf. Praxis will then send a letter directly to your customer asking them to send invoice payments directly to Praxis’ lock box.

What will be the impact on my customer, and how might it change our existing relationship?

A. The only change your customer will see is where to send the payment and
to whom the payment is made. In fact, your relationship will most likely improve with the help of Praxis’ factoring financial services. If you so choose, you will no longer have the uncomfortable task of collecting payments from your customer. The Praxis team, as your account receivable factoring company, can assume that role. So now you can keep your customer conversations business related and leave collections to Praxis.

How will Praxis communicate with my customers?

A. The factoring team at Praxis communicates to your customer through letters and sometimes telephone calls as part of our accounts receivable management and collection services. The letters ask your customers to verify the invoices and
to direct invoice payments to Praxis. Should your customer default on payments Praxis, as your account receivable factoring company, will first raise the issue with you before speaking to your customer.

How will my customers react to our decision to factor?

A. Factoring is a business involving over $120 billion a year and is well accepted
by almost every major business worldwide. Many of your customers are probably already dealing with factoring companies. The Praxis team is experienced in dealing with the nation's largest companies in an appropriate and professional manner. Actually, choosing Praxis as your account receivable factoring company will make your customers have more confidence in your ability to fulfill their needs since they will know you have the working capital you need for success.

Does the location of my customer matter if I were to begin factoring? 

A. No. Praxis is a nationwide commercial factoring company and purchases creditworthy invoices from anywhere in the U.S. Praxis may also purchase international invoices for larger creditworthy accounts.