Stop financing your customers’ payment terms.
You did the work. The invoice is good. So why is your cash sitting in someone else’s accounts payable for 30, 60, or 90+ days? Invoice factoring turns those receivables into working capital you can run the business on.
What is invoice factoring?
Invoice factoring converts unpaid B2B invoices into working capital: a factoring company purchases the invoice and your customer pays them instead, so you stop waiting on payment terms to fund operations.
Here’s how we structure it. You invoice your customer as usual, the factor purchases that receivable and advances you most of its value, and your customer remits payment to the factor or to a lockbox when the invoice comes due. Because the facility is built on your customers’ creditworthiness rather than yours alone, we can look beyond FICO and size the program to your sales — the more you invoice, the more capital is available.
Factoring is a purchase, not a loan, so it typically doesn’t appear as debt on your balance sheet. And depending on how the facility is structured, the factor usually assumes the customer-payment risk: in a non-recourse arrangement the factor absorbs qualifying customer defaults, while a recourse structure keeps that risk with you in exchange for different economics. We’ll walk you through which structure fits your receivables before anything is signed.
Who uses invoice factoring?
Any business that delivers first and gets paid later. If you wait 30, 60, 90, or even 120 days for customers to pay, factoring is built for exactly that gap — and with no SIC-code restrictions, your industry is a structuring input, not a disqualifier. We see it work hardest here:
Construction & manufacturing
Materials, payroll, and production costs land long before the draw or the invoice clears.
Wholesale distribution
You front the inventory, ship the order, then wait on terms. Factoring funds the next buy.
Staffing & service providers
Weekly payroll against monthly client payments — factoring keeps growth from outrunning payroll.
Government contractors
Strong, slow-paying receivables are exactly what a factoring facility is designed around.
Healthcare providers
Reimbursement timelines don’t match operating costs. Factoring bridges the cycle.
Telecom & call centers
Contract revenue billed in arrears becomes capital for staffing and infrastructure.
Oil & gas
Field work paid on completion, with operators on 60–90 day terms. We structure around the lag.
Food production & packaging
Producers, packagers, and distributors fund the next run while retailers pay on terms.
Your receivables are already an asset. Put them in motion.
Tell us who your customers are and how they pay — we’ll structure a facility around your invoices, not your credit score.
Should I factor invoices or use a line of credit?
Honest answer: a bank line of credit is usually cheaper — if you can get one sized to your needs. Factoring typically costs more, but it’s available on the strength of your customers’ credit rather than yours, it scales with your invoicing instead of a fixed limit, and it doesn’t sit on the balance sheet as debt. Many operators use factoring to fund a growth phase a bank line can’t keep up with, then graduate structures as the business matures.
If you’d rather borrow against receivables than sell them, look at receivables financing — or compare the full toolkit on our solutions hub. Picking the right structure is our job, not yours.
Frequently asked questions
Is invoice factoring a loan?
No. Factoring is the purchase of an asset — your accounts receivable — not borrowed money, so it typically does not appear as debt on your balance sheet. Because the facility is built on your invoices, it can scale with your sales rather than a fixed credit limit.
Will my customers know I’m factoring?
Yes. In a standard factoring arrangement your customers remit payment to the factor or to a lockbox, so they are notified of the assignment. Factoring is a routine part of B2B commerce in industries like staffing, construction, and distribution, and the handoff is managed professionally.
What does invoice factoring cost?
Fee and discount structures vary with invoice volume, customer credit quality, and how the facility is structured. We walk through the full terms with you before you commit, so you understand exactly how the math works.
How fast can I get funded?
Once we have the information we need, decisions can come as fast as 24–48 hours. Actual timing depends on your customers, your documentation, and underwriting — but because underwriting centers on your receivables, a factoring facility is often quicker to establish than traditional bank credit.
Get paid on your schedule, not your customers’.
Funding businesses since 2015, with over $500 million in active funding programs — structured around the deal, designed around your cash flow.