Invoice Factoring for small business.
Invoice factoring advances a percentage of your outstanding B2B invoices the same or next business day. When your customer pays the invoice, you receive the reserve minus the factor fee. Built for B2B operators waiting 30–90 days for customer payment.
How invoice factoring works
You set up a facility once. After approval, you upload invoices from approved customers and receive an advance (typically 80%–90%) within 24–48 hours. The factor collects payment directly from your customer per the original terms. When the invoice is paid, the reserve is released to you net of the factor fee.
How this product is structured
The written offer and financing contract contain the economic terms that apply to this structure — including the total repayment where the structure establishes one — before you commit.
Typical profile
- B2B or B2G customer base (not B2C)
- Creditworthy customers (the factor underwrites them too)
- Most recent A/R aging report
- Business bank account and basic financials
Requirements vary by product, provider, and overall business profile.
What shapes your terms
No single number decides an offer. Underwriting weighs how these factors combine on your file:
- Revenue level and deposit consistency
- Time in business and industry
- Existing obligations and payment history
- Collateral or guarantees, where the structure uses them
- Documentation completeness and overall file quality
- The structure itself — pricing mechanics differ by product
Who invoice factoring fits
Invoice factoring fits B2B operators — staffing, trucking, manufacturing, services — with creditworthy customers who pay net-30, net-60, or net-90. The factor advances against work you've already delivered.