Invoice Factoring & Financing
Turn unpaid invoices into immediate working capital without waiting 30–90 days.
Invoice factoring and financing allow B2B businesses to access the value of outstanding invoices immediately rather than waiting for clients to pay. In factoring, a funding company purchases your invoices outright at a slight discount (typically 1–5%) and collects payment directly from your clients. In invoice financing (or accounts receivable financing), you borrow against invoices but retain control of collections.
Both options are approval-based on your clients' creditworthiness rather than your own, making them accessible to businesses with strong receivables but limited credit history. This is ideal for staffing firms, contractors, trucking companies, manufacturers, and anyone with net-30 to net-90 payment terms who needs capital to fulfill the next contract before the last one pays.
Example
A staffing agency has $180,000 in outstanding invoices from three corporate clients due in 60 days, but needs to make payroll this week. They factor $120,000 worth of invoices and receive $114,000 (95%) within 24 hours. When the clients pay in 60 days, the factoring company keeps the 5% and the transaction is complete — no debt added to the balance sheet.
