: You provide a service to a client and send a copy of the invoice to the factoring company.
: Specializes in non-recourse factoring and provides in-person support through numerous local offices. companies that buy invoices
: Favored by online-first small businesses for its quick, tech-driven application process. Key Benefits and Risks Risk/Drawback Cash Flow Provides immediate capital for payroll and growth. : You provide a service to a client
Can become a hard habit to break if cash flow doesn't stabilize. Based on your customer's credit, not yours. Key Benefits and Risks Risk/Drawback Cash Flow Provides
Invoice factoring—also known as accounts receivable financing—is a financial arrangement where a business sells its unpaid invoices to a third-party company (the "factor") at a discount in exchange for immediate cash. This strategy is widely used by B2B companies to bridge the 30- to 90-day gap between service delivery and customer payment. How the Process Works