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Invoice Financing / Factoring
Advance cash against your outstanding invoices instead of waiting on customers to pay — useful for businesses with long payment cycles and strong receivables.
Getting paid now for invoices your customers have not paid yet, by selling or borrowing against them.
Apply NowWho it's for
Businesses that invoice other businesses on 30, 60 or 90 day terms and cannot wait that long for their own bills.
How it works
- 1You raise an invoice to a creditworthy customer as normal.
- 2The financier advances most of its value, often 80–90%, within a day or two.
- 3Your customer pays the invoice on their usual timetable.
- 4You receive the remainder, minus the fee.
What to watch out for
With true factoring the financier may contact your customer directly, since they now own the invoice. If that would be awkward, ask specifically for a confidential or non-notification facility.
At a glance
- ●Advance based on your outstanding invoices
- ●Funding tied to your customers' creditworthiness, not just yours
- ●No new debt on your balance sheet in most structures
- ●Good fit for B2B businesses with slow-paying customers
Common questions
What if my customer never pays?
That depends on whether the deal is 'recourse' or 'non-recourse'. With recourse, you carry the loss. Check which you are being offered — the price difference reflects real risk.