Government contract factoring – turn government contracts into cash.

Turn government contract receivables into cash with fast funding and fees as low as 5%.

When you factor government contracts, you may enjoy:

  • Government contract financing fee as low as 5% (or lower; ask about volume discounts1)
  • High advances – up to 95% – with no-to-low holdbacks
  • No application or due diligence fees
  • No hidden fees or surprises
  • No long-term contracts
  • Spot factoring
  • Micro-factoring
  • Option to retain control of invoicing or assign the work to the factoring company
  • No add-on fees that jack up the real cost of government contract financing
  • No minimums – factor when it’s best for your organization
  • Stellar, professional customer service

Take the first step and submit an inquiry to request a no-obligation quote.


Get started today.


Apply for government contract factoring services that aligns with your business goals and preferences.


You could go from approval to your first funding in as little as 24-48 hours — or even faster.


Get fast advances on factored invoices to expedite cash flow and grow your business faster.

Why Factor – What is Government Contract Financing (or Factoring)?

Government contract financing is the process of factoring government contracts, receivables or other promised payments in order to expedite cash flow. Instead of waiting weeks – or months – to receive payment on government contracts for work fulfilled by your company, you can get immediate access to working capital by factoring government contracts (receivables).

Though a desire for expedited or more consistent cash flow is the reason most companies decide to factor invoices, some of the other common reasons cited by our clients include:

  • Need for working capital to fuel business growth
  • Working capital can be leveraged for better terms with suppliers
  • Customer accounts with generous terms, often 30-90 days
  • Need working capital to take on larger accounts or big orders
  • Slow-paying customers
  • Better ability to meet operating expenses and payroll
  • Capital expenditures like equipment purchases, repairs, renovation or expansion

The practice of invoice factoring is centuries-old and has played an important role as a means of business finance. Any organization, of any size, that provides goods or services to other businesses, government agencies or other commercial organizations on payment terms may be able to factor receivables in order to improve cash flow and unlock working capital.

Invoice Factoring Calculator

Use the factoring calculator below to discover how much working capital you could unlock by factoring receivables instead of waiting weeks – or months – for customers to pay you.

Find out whether factoring receivables could help your business grow faster:

Factoring – Government Contract Financing Process

  • Generate an invoice based on work completed for government contracts
  • Factor the invoice and get free same-day funding of the invoice amount (less factoring fee and reserve, or holdback)
  • 30 (45 or even 90 days later), receive any amount held in reserve once the government agency has paid the invoice in full

Instead of waiting 1-2 months to get paid on government receivables, you can turn them into working capital immediately by factoring them with an invoice factoring company. Assuming a factoring fee of 5%, and an advance rate of 95%, here’s how it would work:

Day 1 – Generate $7,300 government invoice and factor it
 – Same Day You receive 95% advance of $6,935 by wire transfer or ACH
Factoring company earns 5% factoring fee of $365
Day 30+ Factoring company waits on repayment of the government contract – you stay focused on your business!

Benefits of Factoring Government Contracts

Expedited cash flow is the primary benefit vendors receive when they use invoice factoring as a government contract financing tool. In turn, expedited cash flow allows for faster reinvestment in growth and operations, and could be key for government suppliers that need working capital in order to:

  • Purchase materials or supplies for the next contract or customer
  • Bid competitively on future government contracts
  • Fund payroll and operating expenses
  • Avoid delays in meeting government contract deadlines
  • Take on new business more quickly or fulfill larger orders

Using invoice factoring to speed up cash flow can even help an organization reduce expenses to become more profitable, since the working capital can be used to negotiate supplier discounts.

You want an invoice factoring company that’s going to help you go from approval to funding quickly and look for reasons to say “Yes!” when you submit government contract invoices for factoring. We can tailor a program for your business with low factoring fees, competitive advances and flexible terms, such as:

  • No long term contracts
  • No monthly minimums (you choose when and how much to factor)
  • Retain control of billing your customers or task it to the Factor
  • Non-recourse factoring (the factoring company assumes the credit risk)
  • No application or due diligence fees
  • No schedule processing, notification or any other hidden fees

Even more importantly, we promise a high level of customer service to our factoring clients. We want you to work with a financing partner who understands your preferences and unique business needs, saving time and reducing the stress of managing receivables.