How to Start Invoice Factoring
Invoice factoring is a fast & simple way to fund your growing business. The straightforward application process makes it easy to secure the working capital you need. To start, complete a one-page application. Once you’ve finished the application, the following documents may be requested:
- Accounts Receivable Aging Report
- Copy of Articles of Incorporation
- Customer List
- Invoices to Factor
Once the factor receives the application and documentation, you’ll likely be approved in as soon as 24 hours.
Turned down for bank loans? No worries – you’ll likely be approved by a factoring company. Factors base approval on the credit history of your customers, so even if your business has poor credit, you can still be approved. Startup businesses also qualify for factoring. If you have outstanding invoices, you’re eligible for this type of funding.
It’s time to get funded! Complete the form below for your quick quote.
The Factor Finders Difference
Factor Finders offers customized financial solutions for businesses experiencing fast growth, managing seasonal sales patterns, or dealing with slow paying customers. Invoice factoring is the ideal solution for firms lacking enough credit or history to obtain a bank loan. Funding decisions are based on your customer’s credit worthiness, so a less-than-perfect credit history is OK. We’re committed to helping your business secure the funding you need to grow.
The Factoring Process Explained
1. Complete the application process
First, you’ll get your account setup. After submitting a one-page application and a few simple documents, you’ll typically be approved 1-2 days. Call 855-322-8671 to get started now.
2. Submit invoices to factor
Now you’re approved and ready to send your invoices to the factor. The factor will verify the invoices and advance you the cash, usually within 24 hours. Advance rates vary by industry, but you can expect advances up to 95%. The remainder is held in a reserve account until payment is collected from your customers.
3. The factor collects from your customers
Your customers pay the invoice on the terms you already have in place with them.
4. The factor releases the reserve
Once your customers pay the invoice, the reserve amount is released back to you, minus a small factoring fee.