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Commercial financing. Dedicated advisors.800-793-7550 · Ext. 1

Loan programs / Cash flow

Invoice Factoring

Turn unpaid invoices into cash now instead of waiting 30 to 90 days. Approval depends mainly on your customers’ credit, not just your own.

Advance
Typically 70–90% of the invoice up front

Remainder
The balance, minus the factoring fee, when your customer pays

Fees
Usually a percentage of the invoice for each period it’s outstanding

Who qualifies
Businesses that invoice other businesses or government agencies

Who it’s for

A good fit if you are…

  • Trucking and logistics companies
  • Staffing firms
  • Construction subcontractors
  • Manufacturers, distributors and wholesalers
  • Government contractors

Common uses

What the funds can cover

  • Payroll between customer payments
  • Fuel, materials and supplies
  • Taking on larger orders and contracts
  • Smoothing seasonal cash flow

Figures above are typical ranges, not quotes. Your actual terms depend on the lender and your business.

What to expect

How it works with Benchmark

  1. Review. We look at your receivables and the customers you invoice.
  2. Factor match. We match you with factors that serve your industry and invoice size, and compare rates and terms.
  3. Setup. The factor verifies your customers and sets up your account, usually within days.
  4. Ongoing funding. Submit invoices as you bill and receive the advance, typically within a day or two.

Documents

What you’ll typically need

Your advisor will send a checklist tailored to your request and a secure upload link. Please don’t email tax returns or IDs.

How secure upload works →

  • Accounts receivable aging report
  • Sample invoices
  • Customer list with contact information
  • Articles of formation and EIN letter
  • Driver’s license or photo ID for each owner
  • Business bank statements, last 3 months

Questions

Common questions

Will my customers know?

Usually, yes. Customers are typically told to send payment to the factor. Some factors offer non-notification programs for qualified businesses.

Recourse or non-recourse?

With recourse factoring, you buy back invoices your customer doesn’t pay. Non-recourse shifts some of that credit risk to the factor, usually for a higher fee. We’ll explain the specific terms of each offer.

Factoring or a receivables line of credit?

A bank line secured by receivables often costs less but takes longer to qualify for. Factoring is faster and depends more on your customers’ credit. We can look at both.

Next step

See if Invoice Factoring is the right fit

One short application. An advisor will review it, recommend the best program, even if it isn’t this one, and walk you through what comes next.

Benchmark Commercial Lending arranges commercial financing through a network of third-party lenders and funders and may also lend directly. All financing is subject to approval. Rates, terms, amounts and requirements vary by program, provider and borrower qualifications and can change. Program details on this page are general information, not an offer or commitment to lend. Financing is for business purposes only.