Invoice Factoring

Invoice factoring, also called accounts receivable factoring, allows businesses to increase cash flow by selling some or all of their unpaid invoices to a factoring company and getting paid early rather than waiting 30, 60, or 90  days for it their customers’ payments.

With Invoice Factoring, your business gets access to capital without increasing its debt. Once the relationship is established, you can factor one or more invoices at any time and get paid within a day.

Invoice Factoring

Established businesses and less established ones​

Whether your small business is established or just starting up, BorrowPartner will partner with you and your company to secure the best available Invoice Factoring for you.

Invoice factoring is ideal for Business-to-Business or Business-to-Government invoices with credit-worthy customers.

Flexible terms to maximize your opportunity​

Advance Amount

Up to $25,000,000

Agreement Term

1 Year Renewable

Discount Rate

0.3% – 4.0%

The Factoring Advance Amount is generally between 80-95% of the invoice value. The remaining 5-20%, less the discount rate, are then remitted to you upon receipt of the invoice payment from your customer.

The Accounts Receivable Purchase Agreement typically has a term of one year.

The discount rate is variable. It is calculated based upon your accounts receivable aging, the invoice(s) sold, your customer’s profile, and your company’s profile.

BorrowPartner offers Invoice Factoring in all 50 US states. 

We proudly offer reduced rates for veteran-owned businesses.

Many Ways to Use Invoice Factoring

Invoice factoring is perfect to

Our customers also use it for

How to get started with Invoice Factoring?

You can do it yourself

  • Start the application process by completing the invoice factoring online application and submitting copies of your aging Accounts Receivable report.
  • The application is easy and without commitment.

Or, we can assist

  • Complete our contact form and select Application Assistance in the Inquiry Type, and a representative will call you promptly. BorrowPartner assists you every step of the way.

Either way, after receiving your completed financing application, our advisors will promptly review the information and the documents you included and submit the file for prompt processing.

How does Invoice Factoring work?

Factoring is the sale, at a discount, of some or all of your accounts receivable. Factoring is not a loan. As such, no debt is recorded on your balance sheet.

To set up your Factoring relationship, we will need to set up an Accounts Receivable Purchase Agreement with your company. That agreement is typically valid for one year. After that is processed, you will get access to a platform to submit the invoice or invoices that you wish to factor.

At that point, simply submit a copy of your invoice(s) to factor. Within a day, you will receive the factoring advance (80%-95%) less the initial factoring fee in your business checking account. When your client pays the invoice, the reserve, the remaining portion of the invoice less the periodic factoring fee is transferred to your account.

You go on enjoying the flexibility provided to you by your invoice factoring agreement.

That’s it.

Get the financing your business needs to grow

Applying for financing with BorrowPartner does not affect your personal credit score

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