One alternative is to sell your receivables to a factor that will purchase the receivables at a discounted price. You can also sell mortgages or other notes due to you, as well as judgments or other claims against third parties. Or you might accelerate payment of the receivable by offering an attractive discount. You can certainly more easily protect cash than you can money due you on a note. Generally, we title notes, mortgages, structured settlements and other significant future monies due to a client to a limited partnership. We may also pledge the note as collateral security to a more friendly creditor to equity-strip it.
How can notes receivable or other monies due to me from third parties be shielded if I am sued?