Turn your customer invoices into immediate cash, without waiting for payment terms.
Your customer invoices carry payment terms of 30 to 90 days, but your costs are immediate. Factoring turns those receivables into cash as soon as the invoice is issued.
Every new order generates more outstanding invoices. Factoring keeps pace with your revenue growth, unlike a fixed credit line.
Clients abroad often impose longer payment terms than the local market. Factoring reduces the impact of those terms on your cash flow.
Factoring is directly tied to your existing customer invoices and follows your revenue. Working capital credit is a fixed amount independent of invoicing volume.
It depends on the structure chosen. Some solutions notify the customer (classic factoring), others stay confidential.
Typically 70% to 90% of the invoice amount is advanced immediately, with the balance paid after the customer pays, minus fees.