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  • Average monthly sales or amount of invoice to factor

For Vendors Waiting on Payments from Amazon, Factoring is the Answer

For vendors who must wait 30-60 days or even longer on payments from Amazon, factoring eliminates the wait and puts capital back into your business immediately. Amazon vendors can factor promised payment statements on the same day they are generated and gain access to 93% of the statement amount (or even more) within 1-2 business days.

Any remainder is then placed in ‘reserve’ until Amazon has paid the statement amount, and then returned to the Amazon vendor as well. For example, a business received an Amazon vendor statement promising future payment of $25,000 but wanted to access the funds without 30-60 days (or longer) for Amazon to pay.

Assuming a factoring fee of 5%, and an advance rate of 93%, here’s how it would work:

Day 1 Generate an invoice for good sold on Amazon or receive an Amazon vendor statement (promise of payment) for $25,000 and factor it
 – 1-2 Days Receive an advance of $23,250 (93% advance)
Factoring company earns 5% factoring fee
Day 30+ Receive an additional $500 reserve amount after Amazon remits payment

Factoring Amazon Sales and Earnings Statements – How It Works

Factor an Invoice or Statement

Generate a customer invoice or receive an Amazon vendor payment statement and factor it on the same day.

Get an Advance

Request funding for earnings statements as soon as the first day they are issued to you and get fast funding.

Grow More Quickly

Stop waiting months to get paid for goods and services you sell online. Use expedited cash flow to keep pace with expenses or reinvest in growth more quickly.

How does the Amazon factoring process work?

Your business sells products or services to another business or organization (in this case Amazon or as an Amazon 3rd party seller). For each order fulfilled, an accounts receivable invoice is generated, or toward the end of the month Amazon issues a statement promising you payment 30-60 days in the future.

Rather than waiting on a future Amazon payment, you decide to use ecommerce factoring (also known as receivables financing or accounts receivable factoring) to gain immediate access to working capital.

When you factor with fast funding, you may be able to receive nearly immediate access to as much as 93% of the full amount of each invoice factored, or the amount of the Amazon vendor statement. (The amount of your advance could be even higher for large invoices or volume discounts.) This is money that might otherwise be tied up for weeks or even months as a receivable. Any remainder (the amount of the invoice or earnings statement minus the factoring fee) is placed in reserve, pending payment of the invoice by Amazon.

Once Amazon has submitted payment and the amount of the invoice or vendor statement is satisfied, any amount held in reserve is forwarded to you as well. A low factoring fee will be your all-in cost for this type of financing in most cases, depending on the details of your factoring agreement.

We are experienced in funding Amazon vendor and other 3rd party seller statements, and we can tailor a factoring program to your business needs and goals.

Eliminate the wait; factor Amazon payments and get paid immediately instead of waiting 30-60 days.

  • Average monthly sales or amount of invoice to factor

Get More Information about Factoring Amazon Earnings Statements

Contact us at 855-882-6772 or fill out our online application.

  • No minimums or maximums
  • Factor only when you choose
  • Spot factoring and microfactoring
  • Low-to-no hold-backs
  • Fast approvals and funding
  • No hidden fees
  • Competitive rates

Our Amazon factoring program speeds up cash flow for Amazon merchants, service providers, developers and other vendors selling online.

The Amazon that was the great industry disruptor is now a way of life for U.S. consumers and shoppers from around the world. Amazon’s selling platform provides an incomparable opportunity for service providers, manufacturers and distributors of any size to exhibit and sell their goods on a global scale few could have achieved on their own.

One of the unique characteristics of the Amazon merchant experience is that goods must be produced, promoted, sold and shipped 30-60 days before receiving payments on those goods.

Merchants who sell directly to consumers or B2B buyers get paid immediately on the sale of those goods. The wait time between sale and merchant payment can come as an unwelcome surprise since vendors should generally expect a delay of more than a month before payment is received.

Waiting on payments due from Amazon can delay business growth and make financial management much more challenging. By creating more consistent, expedited cash flow with our Amazon factoring program, your organization can:

  • Negotiate discounts with vendors and suppliers
  • Take on new jobs or bigger orders more quickly
  • Meet payroll and expenses more easily
  • Stop losing time and money chasing down customer payments
  • Make needed equipment purchases, repairs, renovation, or expansion
  • Extend more generous terms to their customers as a competitive advantage
  • Take advantage of fast-emerging opportunities more easily

If one or more of these benefits could help you grow your business more quickly, we would be happy to provide you with a free, no-obligation proposal for Amazon vendor factoring.