Your client keeps
$166,610
a year, after paying for the cover
Four questions, and you'll see what waiting to get paid costs you today — and what the same cash would cost here.
Indicative only. Not a quote, not an offer of finance and not advice.
Two numbers decide whether a policy gets placed: what the client saves, and what you earn on it. Both are here — per client, and across the clients in your book who look like this one.
Your carrier commission is untouched. On top of it, a referred client who funds through the program pays you a trailing fee of 15 bps a year on their average outstanding funded balance — accrued on the daily or monthly average, not a one-off draw, and paid monthly or quarterly on that period's balance. It comes out of our spread, so it doesn't touch what the client saves or what the insurer collects. It runs for as long as they keep funding and stops if the balance goes to zero — there's no fixed term underneath it.
| Factoring today | Next quarterly window | Straight away | |
|---|---|---|---|
| Who gets credit-checked | Your company, and every customer, one by one | The insurer standing behind the invoice | The insurer standing behind the invoice |
| Cost, as a yearly rate | 19.1% | 8.3% — 9.3% | 10.3% — 11.3% |
| Cost in money, per year | $400,000 | $172,911 — $193,870 | $214,829 — $235,788 |
| Cash advanced against invoices | 85% | 80% — 90% | 80% — 90% |
| Credit insurance needed | No | Yes — existing, or placed for you | Yes — existing, or placed for you |
| When the money arrives | Per invoice, ongoing | At the next quarterly window | Immediately |
| Your customers and terms | Unchanged | Unchanged | Unchanged |
It shows how much is owed, how customers actually pay, and how sales are spread.
Your last factor or lender statement. The saving is measured against it.
The schedule and covered buyer list. No policy is normal — placing one is part of the engagement.
What's owed to you. Sales on invoice ÷ 365 × average days to pay. It's a yearly average, so a seasonal business sits above it in busy months.
Cost, as a yearly rate. Fees paid in a year ÷ the cash actually out that year. It's the only fair way to compare "2% an invoice" with "9% a year".
The rate here. The quarterly window starts at 8.5% a year and moves for your largest customer, how much is owed, your payment terms and whether insurance is already in place — staying between 7% and 10%. Funding straight away costs about 2 points more. Ranges, because the final number comes from an insurer and an investor.
How much you get up front. Modelled at 80–90% of what's owed. Anything above what you get today shows as cash freed — money released, not extra profit.
Insurance premium. 0.25% of the sales that can be covered — a mid-market benchmark, not an insurer's quote. Where there's no policy we subtract it, so the saving shown is after paying for cover.
Not included. Legal set-up, wire and audit fees, minimum-volume charges, and any exit fee on an existing factoring agreement.
It works like factoring day to day, and it's priced like something much bigger. Thirty minutes on your current facility is enough to know.