Invoice Factoring

Quick and easy invoice factoring gets you an immediate advance on your outstanding invoices.

20 years
of experience
active clients
funded annually

Payroll Funding Explained

Are your clients on terms of 30, 60 or even 90 days, leaving you without the needed income to close new business, start the next project or pay your staff?

We purchase your outstanding invoices, pay you right away and collect from your clients when the bills are due.

  • 1

    Submit your invoice

    You submit your invoices to the factoring company along with any backup you may have to substantiate the invoice. Once the factoring company is able to verify that the invoice is good, they typically advance 80 to 95 percent of the amount of the factored invoices the same or next day.

  • 2

    Accrued Reserve

    The accounts receivable factoring company holds the remaining 10-percent or $10,000 as security until the payment of the invoice or invoices have been received.

  • 3

    Payment Collection

    The factoring company collects payment over the next 30 to 90 day period depending on your customer’s payment terms.

  • 4

    Final Payment to You

    Once the payment has been received, the factor pays you (the seller of the invoices), the remaining ten percent, less the factoring fee, which typically runs one-percent to three-percent of the total invoice value.

Basics of Invoice Factoring

Advance Rate

Advance rate is the percentage of the invoice value that the factoring company will advance to your business. For example, if the advance rate is 80%, and the invoice value is $100, the we will advance $80 to the you.

Discount Rate

Discount rate is the % fee charged by the factoring company. It is deducted from the advance when the invoice is purchased. If the invoice value is $100, advance is 90%, and the discount rate is 3%, your business will receive $87 today and $10 when the bill is collected.

Credit Protection

Credit protection may take the form of a guarantee by the factoring company to pay the business the full invoice value if the customer does not pay, or it may involve the factoring company taking steps to collect payment from the customer on behalf of the business.


Invoice dollar amount, e.g. $20,000 per month, that your business must sell to the factoring company to be eligible for the services. If the minimum is not met you will charged a fixed fee, which will be stated in your agreement.

Credit Analysis

Process of evaluating the creditworthiness of your customers. Credit analysis helps the factoring company determine the risk of non-payment by the customer and may be used to set the advance rate and discount rate for the invoice.

Payment Speed

Payment speed can differ depending on the payment method chosen by the customer. Wire payment is instant but usually comes with a fee about $30, whereas ACH transfer may take 1-2 business days but generally comes free of charge.

Meritus Difference

Fast Approvals

Apply online and get approved in one day

Personal Approach

Dedicated manager for every client

Flexible Terms

We'll work with you on your funding solution


Leave your contact info and our representative will reach out to you or simply call us at (877) 648-3709

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