Invoice financing turns your unpaid customer invoices into cash now. Instead of waiting 30, 60, or 90 days to get paid, you get an advance on money your customers already owe you. It is built for B2B businesses with cash stuck in receivables.
The cash is already yours. Your customers just have not paid yet. Invoice financing simply moves that money forward, so a slow-paying client does not hold up your payroll or your next order.
This one is specific. It works for businesses that invoice other businesses and wait on payment terms. If your cash is regularly tied up in receivables, it can be the cleanest way to free it.
If you sell directly to consumers rather than other businesses, invoice financing does not apply, and a line of credit or working capital is the better route. We will point you to the right one.
There are two common forms. The difference is mainly about who collects from your customer, and we help you pick the one that fits.
You have delivered the work or the goods and sent the invoice, and now you are waiting on net-30, net-60, or net-90 terms.
The financer advances a large share of the invoice value up front, commonly around 80 to 90 percent, within a day or two.
When the invoice is paid, the financer releases the rest to you, minus their fee. The fee depends on how long the invoice took to pay.
With factoring, the financer collects from your customer. With invoice financing, you keep collecting yourself. Each has tradeoffs we walk through.
Ranges, not promises. The exact terms depend on your invoices and your customers. Here is the honest picture.
The figures above are general market ranges shown for education. They are not an offer, a quote, or a guarantee of approval or terms. Your actual advance rate, fees, and terms depend on the financer, your invoices, and your customers.
Invoice financing is judged a little differently from other funding. It leans on your invoices and your customers more than on you.
You invoice other businesses on payment terms, rather than selling directly to consumers.
Approval leans on your customers' creditworthiness as much as your own business profile.
You have unpaid invoices on net terms that are waiting to be collected.
Share who you invoice and your typical terms. A short conversation gets us what we need, with no impact to your credit to start.
We bring you the offers you qualify for, side by side, with the advance rate, the fee, and who collects on each made plain.
We handle the setup with the financer and get your first advance moving, so your cash stops sitting in receivables.
They are closely related. With invoice factoring, you sell your invoices and the financer collects payment from your customers directly. With invoice financing, you borrow against your invoices but keep collecting from your customers yourself. Factoring hands off collections, while financing keeps that relationship in your hands. We help you choose based on how you want to handle your customers.
It depends on the structure. With factoring, your customers usually pay the financer directly, so they are aware. With invoice financing, collections often stay with you, which can keep it more discreet. If keeping the customer relationship fully in your hands matters, we will steer you toward the structure that does that.
Rather than a standard interest rate, you pay a fee that grows the longer the invoice takes to get paid. If your customer pays quickly, the cost is low. If they drag it out, it climbs. We always show you the fee structure clearly so you can weigh it against the value of having the cash now.
Not necessarily. Because invoice financing leans heavily on the creditworthiness of your customers, a newer business with strong, reliable clients can often qualify even without a long credit history of its own. We read the whole picture and tell you straight where you stand.
No. Comparing your options with Spark does not affect your credit. We give you a clear picture and straight answers first, and a hard credit pull only happens later, with your go-ahead, if you choose to move forward.
Get your real options in one straightforward conversation. No cost, no obligation, and no pressure to take anything that does not fit your business.