What is Invoice Factoring?
Invoice factoring is a non-loan form of funding called “accounts receivable financing” that enables your business to access working capital in exchange for your unpaid invoices in as little as one business day. Your lender (that’s us) will purchase your business’s outstanding invoices at a discounted price and advance you the net amount in cash, typically between 70-90% of the invoice’s value up to $100,000 per common ownership. We can arrange online invoice factoring in bulk for your entire sales ledger, or for individual or small bundles of invoices.
With online invoice factoring with Angel Financial Solution, we are responsible for collecting on the invoice. Once your client makes payment, we’ll send you the remainder of the invoice’s value (minus our fee), with terms typically ranging between 30 and 90 days. We know how important your customer relationships are and you can trust us to collect on your invoice professionally.
Invoice Factoring Rates
Online invoice factoring fees are based on the difference between the value of the invoice and our purchase price, your business’s and your client’s financial history and risk assessment, and factors like time to payment. Fees typically fall somewhere between 1-5% of the invoice’s total value for every 30 days the invoice remains unpaid.
Who Should Apply Online for Invoice Factoring?
Invoice factoring is ideal for:
- Businesses with long accounts receivable periods
- Businesses with large numbers of outstanding invoices
- Filling in the gaps between sending invoices and receiving payment
- Invoices valued at $15,000+ with extended credit terms, and which are not more than 90 days past due
- Businesses seeking fast funding
- B2C businesses that need smaller amounts of funding
- Businesses with lower credit scores or that do not have collateral, such as real estate and other major assets
Invoice factoring can benefit construction companies, pharmacies, law offices, manufacturers, business services, and more. No matter what industry you operate in, our expert Funding Advisors will work closely with you to select the best funding option to help you achieve your business’s goals without sacrificing cash flow.
How to Use Invoice Factoring
There are no restrictions on how invoice factoring funding can be used. Funding received from online invoice factoring is typically best used to:
- Fill gaps in cash flow without committing to a long term loan.
- Cover recurring expenses like payroll, rent, utilities, and more while you wait for
- clients to pay their invoices in full.
- Fund growth strategies, new equipment, and other costly purchases that have a strong ROI.
- Take advantage of seasonal business opportunities such as purchasing inventory in bulk.
Invoice Factoring Qualification Requirements
Because your invoices essentially act as collateral, online invoice factoring has more flexible qualification requirements than other forms of funding.
Angel Financial Solution focuses on the overall health of your business, not just your credit score, as well as the payment history of your customers. Here are some factors we consider:
- Business revenue
- Cash flow
- Vendor payment history
- Years in business
- Public records
We do not require first position on invoice factoring and no additional collateral is required.
Business Hours
Angel Financial Solution: Loan Specialist are here to ensure a fast and timely process. Call us if you need help or have any questions.
🕒 Monday – Friday
🕒 9am to 8pm Est
📝 WhatsApp: +855 90714767
📝 WhatsApp: +855 90714767
✉️ lizacolfer@gmail.com
🌐 www.angelfinancialsolution.com