Invoice Factoring
Invoice factoring companies provide businesses with advance payments and immediate access to the working capital needed to hit payroll, purchase more inventory, or continue expanding operations without giving up equity. It involves a business selling its accounts receivable to a third-party factoring company for immediate funds, without waiting for their customers to pay.
After you submit your invoices, the factoring company verifies them and provides a cash advance. This gives your business fast access to funds, often within 24 hours. Once your customer pays the invoice, you receive the remaining balance minus a small factoring fee.
Why You Should Use Us For Invoice Factoring
Invoice factoring is a flexible financing solution that allows businesses to access immediate funds by selling their unpaid invoices. This service is especially valuable for small business owners and small businesses facing cash flow gaps due to delayed customer payments. Invoice factoring is particularly suited for business to business companies that need quick access to capital but may have difficulty obtaining traditional loans. By using invoice factoring, businesses can improve cash flow, stabilize operations, and support growth by receiving working capital without waiting for customers to pay their invoices.

Fast Access to Cash
We advance funds on your receivables and get you approved for funding and factoring services in hours.

Competitive Rates
We pay up to 95% on each invoice, we’re one of the most competitive in the industry.

Cash Flow
Factoring gives you consistent cash flow, so you can get paid from your outstanding invoices and run your business.
We specialize in working with B2B businesses across a range of sectors
Don’t see your business below, reach out to us – there’s a great chance we work with yours. And if we don’t we will refer you to trusted partner who can!
Our Process
One of our core values at Porter Capital is transparency – so we take pride in outlining what our entire factoring process looks like from start to finish. The invoice factoring process is a step-by-step transaction that begins with submitting your invoices, selecting a factoring partner, and selling invoices to a third party to receive immediate funding. It may look long, but we work fast and can provide funding in as little as 24 hours. We work as fast as you can to respond to us after submitting our form.
Prospect
You reach out to us, or we connect with you. At this stage, we’re just getting to know each other. We’ll ask some basic questions about your business, how you invoice, and the types of customers you serve. If you’re a B2B company that sells on terms, you’re already off to a great start.
Pre-Approved
Based on your answers and quick research, we determine if you meet our initial requirements. This includes:
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Selling to other businesses (not consumers)
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Invoicing after delivery of a product/service
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Unencumbered receivables
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Monthly invoice volume that makes factoring efficient (usually $25K+)
Eligibility for invoice factoring often depends more on the creditworthiness of your customers than your own business credit, making it accessible even if your credit history isn’t perfect.
This stage is all about ensuring a good fit before we dive deeper.
Proposal Issued
Once you’re pre-approved, we send over a proposal that outlines the key details of our offer:
- Advance Rate (usually around 85–90%)
- Fee Structure (our discount rate based on time outstanding)
- Terms and services included (like online dashboard access and credit checks)
There are different types of invoice factoring and types of invoice, such as recourse and non-recourse factoring, which affect the agreement terms and risk allocation.
This proposal is not a contract—it’s simply a clear, written offer so you know what to expect.
Proposal Accepted
If you like what you see, you give us the green light to proceed. This stage signals serious intent, and we begin collecting more detailed documents for underwriting. You’re not locked in yet, but we start preparing for a deeper evaluation.
Underwriting
Our credit and risk teams take a thorough look at your business. This includes:
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Analyzing your accounts receivable aging report
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Reviewing sample invoices and backup documents
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Evaluating your customers’ creditworthiness
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Checking for tax liens, bankruptcies, or legal encumbrances
We also verify invoices using methods like verbal confirmation or reviewing proof of delivery.
Credit Committee Approved
Once underwriting is complete, your deal is presented to our internal credit committee. If approved, this means we’re confident in your customers’ ability to pay—and we’re ready to move forward.
This is the final green light before paperwork.
Docs Issued
We send you the official agreement to review and sign. This includes:
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The factoring agreement
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Any necessary UCC filings
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Details about your lockbox address or remit-to info
You’ll also get a breakdown of how the process will work day-to-day.
Docs Signed
You’ll see money in your account within 24h of approval.
Onboarding
We notify your customers (account debtors) with a Notice of Assignment, instructing them to send payments to your new lockbox. We also train you or your team on:
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Submitting invoices
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Tracking advances and rebates in our portal
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Asking for credit checks on new customers
Once onboarding is complete, you’re ready to start submitting invoices and receiving funding—often within 24 hours.
Try our Factoring Calculator
Use our factoring calculator to see the estimated cash advance, the final amount receivable upon invoice payment and the factoring fee. No email required!
- Unlimited funding, for as much as you have in eligible invoices
- Choose which invoices you want to fund (a.k.a., spot factoring)
- Optional accounting platform integrations to import eligible invoices
Types of Factoring We Offer
We proudly offer both recourse and non-recourse factoring to our clients. These are two different invoice factoring agreements for accounts receivable. Accounts receivable factoring and receivable financing are both forms of business financing that help small businesses access cash quickly. Small business invoice factoring is a popular solution for small businesses seeking immediate working capital, as it provides quick cash flow by selling unpaid invoices to a factoring company. While both provide immediate cash flow and upfront financing benefits, they differ in their mechanics and backend operations. Accounts receivable financing is an alternative to factoring, where businesses borrow against their outstanding invoices rather than selling them outright.
At Porter Capital we evaluate your unique business dynamics – industry benchmarks, your business size and projected returns on due invoices – to recommend the best financing option for you. Our goal is to find the right financing solution for your business.
Understanding Costs and Fees
When considering invoice factoring as a financing solution, it’s important for business owners to have a clear understanding of the costs and fees involved. The total invoice factoring cost can vary significantly depending on the factoring company you choose, the value of your invoices, and the creditworthiness of your business customers.
The primary expense is the factoring fee, sometimes called a discount rate, which is typically a small percentage of the total invoice value. This fee compensates the factoring company for advancing funds and managing the collection of outstanding invoices. Factoring fees can range from 1% to 5% of the invoice amount per month, depending on factors like the payment terms, the volume of invoices factored, and the risk profile of your accounts receivable.
In addition to the standard factoring fee, some factoring companies may charge additional costs such as setup fees, service fees, or even hidden fees for things like credit checks or wire transfers. It’s essential for business owners to review the factoring agreement carefully and ask for a full breakdown of all potential charges before signing.
The overall invoice factoring cost is also influenced by the type of factoring agreement you select. For example, non-recourse factoring, where the factoring company assumes the risk if a customer fails to pay, often comes with higher fees than recourse factoring, where the business owner retains some responsibility for unpaid invoices.
To ensure you’re getting the best value, compare offers from multiple invoice factoring companies and look for transparency in their pricing. A reputable factoring company will clearly explain all costs upfront, helping you make an informed decision that supports your business cash flow without unexpected expenses. Always ask questions about any fees you don’t understand and make sure the factoring agreement aligns with your business needs.
Some of our differentiators
- Rates from .4%
- Fast Approval
- No Minimum Credit Score to Qualify
- 30+ Years In Business
- Will Fund Past-Due (Outstanding) Invoices
- Credit Lines up to $25 Million
Meet Your Team
We appoint a dedicated operations manager for you when you get started. Instead of automated calls and answering machines that other factoring companies provide – we appoint a real person who deeply cares about your business and partners with you to deliver exceptional factoring services.

Frequently Asked Questions About Invoice Factoring
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What to expect after you fill out our 60 second application
- A member of our sales team will call you within 15 minutes if you submitted this during business hours
- We will ensure you are a good fit for our factoring services.
- If you are, we will issue a formal proposal that outlines advance rate, fee structure, and service details.
Once approved, funds are typically transferred directly to your business bank account, ensuring quick access to capital. Linking your bank account streamlines the funding process and allows for efficient disbursement of funds.
We can move as fast as you can – meaning we can get you pre-approved in the next 24 hours and begin the underwriting process quickly to ensure you get your funds when you need them.
Looking forward to speaking with you soon.