Under what circumstances do you think it would be wiser for a firm to factor its accounts

Question:

Under what circumstances do you think it would be wiser for a firm to factor its accounts receivable rather than pledging them?

Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...