Invoice Factoring

Payment upfront or on delivery is always ideal, but it isn’t always possible. Invoice factoring can help your small businesses fill in the gaps between issuing an invoice and receiving payment without compromising your relationship with your client.

What is Invoice Factoring?

Online invoice factoring with Greenbox Capital® enables your business to quickly access working capital in exchange for your unpaid invoices. With invoice factoring, also known as accounts receivable financing, you sell us your outstanding invoices at a discounted price in exchange for the net amount in cash, typically, between 70-90% of the invoice’s value, up to $100,000 per common ownership. Once your client makes payment, we’ll send you the remainder of the invoice’s value (minus our fee).

Invoice factoring is not the same thing as invoice financing. With invoice financing, you (the business owner) are responsible for collecting payment. With accounts receiveable financing, your lender (that’s us) owns the invoice, and will get paid when the customer pays, typically between 30 and 90 days. We are not a collections agency—we know how important your customer relationships are, and you can trust us to collect on your invoice professionally.

Invoice Factoring is Ideal for:

  • Businesses with long accounts receivable periods
  • Businesses who need to fill in the gaps between sending invoices and receiving payment
  • Invoices valued at $15,000+ with extended credit terms, and which are not more than 90 days past due

Who Can Benefit from Invoice Factoring?

Online Invoice Factoring can help businesses in most industries, including:

  • icon-industry-light-construction
    Construction Companies

    Contractors, electricians, plumbers, specialty tradespeople, & more.

  • icon-industry-light-pharmacy

    Compounding pharmacies, consulting pharmacies, retail pharmacies & more.

  • icon-industry-light-legal
    Law Offices

    Business law, criminal law, tax law, family law, health law & more.

  • icon-industry-light-manufacturing

    Metal manufacturing & machinery, food production, electronics, & more.

  • icon-industry-light-business
    Business Services

    Advertising, maintenance, equipment rental, computer programming, & more.

No matter what industry you operate in, our expert Funding Advisors will work closely with you to select the best funding option to help you achieve your business’s goals without sacrificing cash flow.

How Invoice Factoring Works

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    Submit your one-page application

    You’ll need the invoices you need factored and contact details for your customer’s accounts payable manager. For faster approval, grant us secure access to your bank account’s transactional data.

  • icon-process-2
    Speak to a Greenbox Capital Funding Advisor.

    A Funding Advisor will reach out to you within 1 hour (during regular business hours) to complete your application and discuss your business funding options.

  • icon-process-3
    Get funded

    Once you and your Funding Advisor determine what works for your business and we assess the credibility of your customer, funding can be approved and deposited within 24 hours.

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    We’ll collect on your invoice

    We’ll collect on your invoice professionally without compromising your relationship with your customer. Then we’ll send you the remaining value (minus our fee).

Will Your Business Qualify?

We know that your business’s credit score doesn’t tell the whole story—that’s why approval for online invoice factoring from Greenbox Capital is based on more than just your credit score. We focus on the overall health of your business, including:

  • Business revenue
  • Cash flow
  • Vendor payment history
  • Years in business
  • Public records

Why Get Funded by Greenbox Capital?

We are not a collections agency—we know how valuable customer relationships are to small businesses. Your success is what matters to us most, and you can trust us to tactfully collect on your invoice without jeopardizing your customer relationships. Our streamlined application and fast approval process make it easy for you to get accounts receivable financing, and our knowledgeable Funding Advisors will be beside you every step of the way.

Invoice Factoring Q&A

Q: How do you determine which invoices to factor?

A: We review the customer you invoiced to verify their qualifications to pay the invoice. Once they are approved and the relationship is established, we buy all of your business’s outstanding invoices for that customer until either one of us ends the relationship with the customer. 

Q: Do you require a first position on invoice factoring?

A: We do not require first position on invoice factoring. However, most lenders do.

Q: How will my customer(s) know where to send payments?

A: We give your customer the payment information to wire to our business bank account, and will test beforehand to ensure payment is received properly.

Q: Will I pay interest with invoice factoring?

A: No, there are no interest payments with invoice factoring. Our fees are based on the difference between the value of the invoice and our purchase price, and will be clearly explained to you by one of our Funding Advisors.