Invoice Factoring
Convert your outstanding invoices into immediate cash flow to keep your business moving forward.
Have questions? Contact us to speak with a funding advisor.
Invoice Factoring Overview
Advance Rate
70-90% of invoice value
Factoring Fee
1-5% per month (varies by industry)
Funding Amount
$10,000 - $5 million+
Time to Fund
As fast as 1-2 business days
Invoice factoring allows businesses to sell their outstanding invoices to a factoring company at a discount. Instead of waiting 30, 60, or even 90 days for customers to pay, you receive a significant portion of the invoice value immediately, improving your cash flow and enabling you to meet current obligations or pursue growth opportunities.
The factoring company then collects payment directly from your customers when the invoices are due, completing the transaction. This is not a loan – you're selling an asset (your invoices) rather than taking on debt.
Benefits of Invoice Factoring
Immediate Cash Flow
Convert unpaid invoices into cash within 24-48 hours, eliminating the wait for customer payments.
No New Debt
Unlike loans, factoring is a sale of assets (your invoices), so it doesn't add debt to your balance sheet.
Scale with Your Business
As your sales increase and you generate more invoices, your available funding grows proportionally.
Simplified Collections
Many factoring arrangements include professional collections services, saving you time and resources.
Is Invoice Factoring Right for Your Business?
Invoice factoring is particularly beneficial for businesses that:
- Offer payment terms of 30-90 days to business or government clients
- Need to improve cash flow while waiting for customer payments
- Have creditworthy commercial customers
- Operate in industries such as manufacturing, transportation, staffing, consulting, or construction
- Are growing rapidly and need working capital to keep up with demand
Note: Invoice factoring is generally not suitable for businesses that primarily sell to individual consumers or have very small average invoice values.
How Invoice Factoring Works
You Provide Services
Deliver your products or services to your customers and issue invoices as usual.
Sell Your Invoices
Submit your invoices to us, and we advance you 70-90% of the invoice value within 24-48 hours.
Receive the Balance
When your customer pays the invoice, you receive the remaining balance, minus our factoring fee.
Ready to fuel your business growth?
Get started with Nexli Funding today and secure the funding you need to take your business to the next level.