Manufacturing Factoring

Manufacturing factoring is a financial service where you sell your invoices to get paid immediately, instead of waiting for 30 to 90 days. It works by selling your company’s active invoices to a factoring company and converting your existing receivables into cash that you can use to cover your operating expenses.

This provides quick cashflow, keeping your business running smoothly between payments and can help to solve working capital issues.

Invoice factoring for manufacturing allows you to secure protection against payment defaults, encourages your customers to place larger orders, and offers the option to pre-pay your sub-contractors and suppliers.

Manufacturing factoring companies typically charge fees between 1% and 3% of the invoice value. As these charges can differ across companies and can come with different added benefits, it's best to find a trustworthy factoring company that provides a reasonable rate for you.