Who qualifies for invoice factoring?

Invoice factoring qualification is based primarily on your customers' creditworthiness, not yours. There is no minimum credit score requirement for the business owner. The key requirements are that you invoice other businesses (B2B), your customers have a history of paying their invoices, and the invoices are for completed work or delivered goods. Industries that commonly use factoring include staffing, trucking, manufacturing, construction, and professional services.

How is pricing determined for invoice factoring?

Pricing is quoted per deal after underwriting — we do not publish rate sheets. Terms depend on the file, the lender, and how the structure is used.

When is invoice factoring NOT a good fit?

Invoice factoring is not suitable for B2C businesses because factors require invoices billed to creditworthy commercial customers. It is also a poor fit if your customers have a history of late payments or disputes, since the factoring company bears collection risk and will either decline those invoices or charge higher fees. Businesses with high profit margins on small invoices may find the factoring fees disproportionately expensive compared to simply waiting for payment.

Funding Solution

Invoice Factoring

Q: What is invoice factoring?

Invoice factoring is a financing method where a business sells its outstanding invoices (accounts receivable) to a factoring company at a discount in exchange for immediate cash. The factor advances 80-95% of the invoice value upfront, then collects payment directly from your customers. Once the customer pays, you receive the remaining balance minus the factoring fee. It is not a loan — it is a sale of an asset you already own.

Turn unpaid invoices into immediate working capital without taking on new debt.

Start Your SmartMatch Talk to an Advisor

Typical speed: 24 hours
Deal range: $25K–$30.0M
Terms: Per invoice (until customer pays)

01 — Overview

What is Invoice Factoring?

Selling unpaid invoices to a factoring company at a discount in exchange for immediate cash. The factor collects from your customers. You get 80-95% of invoice value upfront.

Funding Range: Up to 95% of invoice value
Typical Close: 24 hours
Monthly Revenue: $17K+

02 — Process

How it works.

One senior team from first conversation through funding — no call-center handoffs.

01
Tell us the deal
Share the basics through SmartMatch — about 30 seconds. No credit pull at intake.
02
We structure options
An advisor reviews and matches across our network. Decisions typically within 24 hours.
03
Fund & stay connected
24 hours for advance after invoice submission. The same team stays with you after the wire.

03 — Details

About Invoice Factoring

Deal size, speed, and fit — terms are set in underwriting, not on a public rate sheet.

Invoice factoring solves one of the most frustrating cash flow challenges businesses face: the gap between when you deliver products or services and when customers actually pay their invoices. For businesses working on net-30, net-60, or net-90 payment terms, this gap can be substantial. You've already incurred costs and completed work, but payment is weeks away. Invoice factoring bridges this gap by converting your unpaid invoices into immediate cash.

Here's how invoice factoring works: You deliver goods or services to a customer and issue an invoice. Instead of waiting 30-90 days for the customer to pay, you sell that invoice to Nautix Capital. We advance you approximately 70-90% of the invoice value immediately—typically within 24 hours. When your customer pays the invoice, we retain a factoring fee (typically 1.5-5% of the invoice amount depending on invoice size and customer creditworthiness) and send you the remaining balance. The process repeats for each new invoice, providing continuous working capital.

04 — Capabilities

What this structure delivers.

Same-Day Advances

Receive 70-90% of invoice value within 24 hours of submission.

No Debt Incurred

Factoring is asset-based, not debt-based. Doesn't count against your debt ratios.

Scalable Funding

Advance amount scales with your invoices. More invoices = more working capital.

AR Management

We handle collections, customer communication, and dispute resolution.

05 — Why Nautix

Why choose Invoice Factoring with us.

Independent by design — we sit on your side of the table, not the lender’s.

01
Immediate Cash Flow
Stop waiting 30-90 days for customer payments. Get funds within 24 hours.
02
Scalable Working Capital
Your available working capital grows as your business and invoices grow.
03
Cleaner Balance Sheet
Not counted as debt, making you more attractive to other lenders and partners.
04
Predictable Costs
You know the exact factoring fee upfront. No hidden charges or surprise interest.

“We were scaling fast and needed working capital without delays. I gave Nautix what they needed and within hours we had a path forward. The offer made sense, the terms were clear, and the funding was in before the end of the day. I've worked with big institutions before — this was cleaner, faster, and more aligned.”

Mark Moshtaghi · Verified Client

See if Invoice Factoring fits your deal.

No application, no credit pull at intake. An advisor reaches out within one business day.

Start Your SmartMatch

06 — Fit

Eligibility at a glance.

Starting points for a conversation — every deal is underwritten on its own facts.

$17K+

Monthly revenue

1+ yr

Time in business

550+

Credit score

Best for

Staffing and recruiting agencies with net-30/60/90 payment terms
Commercial contractors and construction firms managing project financing
B2B service providers with large customer invoices
Wholesale distributors and manufacturers with extended payment terms
Logistics companies and freight brokers managing working capital

07 — Industries

Who uses Invoice Factoring.

Sector guides with the same product, tailored to how the business actually runs.

E-Commerce & Retail

Online retailers, brick-and-mortar stores, marketplace sellers, and omnichannel retail businesses.

Professional Services

Consulting firms, accounting practices, business advisory, design agencies, and professional service providers.

Legal Services

Law firms, solo practitioners, legal aid organizations, and paralegal services.

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09 — Coverage

Available nationwide.

Select your state for local invoice factoring context.

10 — FAQ

Common questions.

01Is factoring the same as a loan?+

No. Factoring is the sale of an asset (your invoices), not a loan. You're selling unpaid invoices at a discount for immediate cash.

02Will my customers be upset about factoring?+

Many businesses use factoring without customers knowing. We send professional collection notices that look like standard business communications. Some customers are aware and don't mind because they benefit from your faster service.

03What happens if a customer doesn't pay their invoice?+

In non-recourse factoring, we assume the risk if your customer doesn't pay. You have no obligation to repay the advance (though you may pay a small reserve fee).

04How much advance do I receive?+

Typically 70-90% of invoice value depending on customer creditworthiness, invoice size, and payment terms. Remaining balance is paid when customer remits payment minus factoring fee.

Next Step

Ready for Invoice Factoring?

Apply in minutes. Decision in 24 hours. Funding up to $30.0M.

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