Invoice Financing also known as Factoring is a type of Asset Based Financing, which allows business owners to receive payment on their outstanding invoices. This type of financing is a good solution for construction and logistic companies, who often have sizable Accounts Receivable owed to them. Financing companies will advance up to 90% of the invoice within 1-7 business days.
Up to 90% of Receivables Value
Up to 1 Year
Time to Funds
As soon as 3 Business Days
As low as 6%
What is a Invoice Financing?
Some of Blue Rocks' Affiliates
Who Qualifies for Invoice Financing?
Most Invoice Financing Lenders don’t focus much on your revenue , time in business or profitability. Rather , they care about the quality of the invoice they are purchasing. Any business that operates B2B can qualify for invoice financing.
What Documents are Needed for Invoice Financing?
To apply you’ll need to gather up several documents, including a loan application, driver’s license, voided check, previous 6 months bank statements and Outstanding Invoices.
How Much Does Invoice Financing Cost?
Invoice Financing costs differ based on the lender, and the quality of the invoices , as well as several other factors , such as owners credit. The way cost works is the financing company will charge you a fee , usually around 3% and then a 1% weekly fee. The fees can really add up , so it’s important to understand the fee’s upfront. Remember , the longer it takes for your customer to pay the invoice, the more you’ll pay in fee’s. This financing method is very popular, but again it’s very important to understand the fee’s ahead of time.