Manufacturer Financing – Invoice Factoring

Even if you are already using invoice factoring as a manufacturer financing tool, we encourage you to apply for a free, no-obligation factoring proposal so that you can make sure you have the best factoring agreement in place for your organization. We offer supply chain finance solutions with:

Fees as low as 1%
Fast funding – as little as 1 business day
High advance rates with low holdbacks
No upfront fees
No long-term contracts
No factoring minimums -you choose which invoices to factor
No add-on or hidden fees
No application or due diligence fees
Financing without taking on debt
Friendly, professional customer service

Plus, you will receive prompt, professional customer service with a knowledgeable account manager, which means you will be working with someone who understands and appreciates the unique needs of your business.

GET A FREE, NO-RISK QUOTE

Manufacturers can expedite cash flow by factoring customer invoices instead of chasing customer payments.

1. SUBMIT AN INQUIRY

Submit an inquiry to find out more about invoice factoring solutions that meet your business goals and preferences.

2. STOP CHASING PAYMENTS

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

3. CREATE ADVANTAGES

Extend generous credit terms to your customers and expedite cash flow to grow your business faster.

Factoring for Manufacturers

Manufacturers can expedite cash flow by unlocking the working capital in unpaid customer invoices when they factor them. Factoring rates as low as 5% and competitive advances can help you grow your manufacturing business faster.

Factor your customer invoice on the same day it’s generated and receive funding within 1-2 business days (or even faster). Your advance could be up to 95% of the face value of the invoice, with a low reserve or even no holdback at all.

If you billed a customer in the amount of $8,000 but want to access the funds without waiting weeks – or months – for your customer to pay, assuming a factoring fee of 5%, and an advance rate of 95%, here’s how it would work:

Day 1 –	Generate $8,000 client invoice and factor it
– Day 2-3	Receives 95% advance of $7,600 by wire transfer or ACH
	Factoring company earns 3% factoring fee
Day 30-60-90+	Factoring company waits on customer payment while you stay focused on your business

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 invoices and receivables could help your business grow faster:

Manufacturer Financing Solutions that Expedite Cash Flow

Many of a manufacturer’s operational costs, raw goods, services and employee payrolls must be funded with cash up front. These same manufacturers often then find themselves waiting for distributors or retailers to pay for weeks – months – or even longer. Waiting for their customers to pay can result in cash flow challenges that limit or stall their growth.

Using invoice factoring as a manufacturing financing tool fills the gap.

Here’s how invoice factoring speeds up manufacturer cash flow:

A manufacturer generates an invoice and factors it for a small fee (called a factoring fee). The manufacturer receives an advance of up to 95% of the invoice amount within days (or hours) of factoring. Any remainder (invoice amount less the advance + factoring fee) is held in reserve against customer invoice payment.

When the factored invoice is paid in full, the reserve amount is also released back to the manufacturer.

Factoring invoices provides manufacturers with immediate access to the money that is tied up in unpaid customer invoices. By eliminating concerns about slow paying customers, they can also turn this to their advantage by offering buyers extended payment terms as a competitive advantage.

Supply Chain Finance Scenario – Manufacturer Financing with Invoice Factoring

In the following factoring scenario, you’ll see how invoice factoring helps a manufacturer who wants to grow their business.

The Wonderful Widget manufacturing company wants to expand from regional to national distribution. To do this, they need to produce a significantly higher number of wonderful widgets and establish a nationwide network of distributors for their widgets – all in a short period of time.

To help them attract the best distributors in various regions, they want to extend favorable payment terms so that distributors can stock more of their wonderful widgets.

They can only accomplish their goal if they can get access to the money currently owed them by their current customers. So they factor these unpaid invoices and gain access to working capital immediately.

Capital in hand, the Wonderful Widget Manufacturing Company can obtain the raw materials needed to produce the inventory for supplying both new distributors and current customers with all the wonderful widgets they ordered.

Request a free, no-obligation quote for manufacturer financing solutions by completing the quick quote form here.