Financing Solutions
Invoice Factoring — Get Paid Now Instead of in 60 Days
Turn your unpaid B2B invoices into working capital without taking on debt.
- 80–95% advance rates
- Funding in 24 hours after setup
- Approval based on your customers' credit
- Grows automatically with your sales
What it is
The plain-English version
Invoice factoring is the sale of your accounts receivable to a factoring company at a discount. It is not a loan. You are selling an asset you already own, which means no new debt appears on your balance sheet and there is no interest to repay.
The factor advances the large majority of each invoice — commonly 80% to 95% — within about a day, collects from your customer on the original terms, and then remits the reserve balance to you minus the factoring fee.
Because the credit decision rests primarily on the strength of your customers rather than on your own credit history, factoring is often available to young companies and to businesses that cannot qualify for conventional financing.
What you'll need to apply
- Accounts receivable aging report
- Sample invoices and customer list
- Articles of organization and W-9
- Confirmation that invoices are for completed, delivered work
How it works
From request to funded
- 01
Complete a factoring application and submit your accounts receivable aging report.
- 02
Once the facility is set up, submit invoices as you generate them.
- 03
Receive the advance, typically within 24 hours of verification.
- 04
Your customer pays the invoice, and the reserve balance is released to you less the fee.
Who it's for
Ideal-fit scenarios
- Staffing agencies making weekly payroll against 45-day client terms
- Freight carriers and brokers waiting on shipper payment
- Manufacturers and distributors with concentrated commercial accounts
- Government and prime contractors on extended payment terms
- Fast-growing companies whose sales are outrunning their cash
- Startups with strong commercial customers but no operating history of their own
Common uses
What clients use it for
Staffing and services
Fund weekly payroll while clients pay on 30-, 45-, or 60-day terms.
Freight and transportation
Cover fuel, drivers, and maintenance without waiting on shipper or broker payment.
Manufacturing and distribution
Keep production moving when a few large commercial accounts hold most of your receivables.
Questions
Good to know
All terms are indicative and subject to lender approval, credit review, and underwriting. Actual structure varies by product, lender, and applicant qualifications.
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