What Is B2B Factoring and How Does it Work?
- You invoice your customer
- We verify the invoice
- We advance up to 90% of it's value
- We hold the remaining 10% in a reserve account
- Once your customer pays us, we release the reserve minus our factoring fee
Business-to-Business Factoring is a financial transaction where a company sells its accounts receivable (invoices) to a factoring firm at a discount. This allows you to access working capital without waiting 30, 60, or even 90 days for customer payments.
Is B2B Factoring Right for Your Company?
Some businesses offer early payment discounts (e.g., 2% for payment within 10 days), hoping to accelerate cash flow. But most customers won’t bite—because they’re managing their own cash constraints.
That’s why factoring is a more reliable solution. You focus on growing your business and increasing sales. We focus on delivering the working capital you need to do it.