invoice factoring for startups

Invoice Factoring for Startups

Startups bring us some of our most creative innovations.  Being a startup involves a lot of risk, time constraints, staffing demands, and challenges obtaining funding.  Invoice factoring can help with funding by speeding up cash flow without the long wait for an invoice to pay.  By taking advantage of factoring a startup can ensure they won’t run short of cash, which could slow down operations.

What Is Invoice Factoring?

Invoice factoring is an effective way to manage your business finances.  This practice allows you to submit your unpaid invoices to the factoring company for cash.  Your startup can receive funding in as little as 24 hours. Factoring allows you to pay payroll and operating costs without having to wait for your customers to pay.

Advantages for Startups

Many startups don’t qualify for conventional bank financing.  While some startups seek venture capital, the cost of giving up equity is a long-term cost.  Startups utilize factoring during their growth stage and eventually reach their own independent cash flow.

Invoice factoring is simple.  You do not have to provide tax returns, projections, and personal financial statements.  Factoring companies are most interested in the credit quality of your customers. 

Knowing that the factoring company has approved your customers your able to take on bigger projects with larger customers. 

American Receivable has helped companies survive the toughest economies for 43 years.  We specialize in helping companies cash flow and prosper.  We have helped over 8,000 companies nationwide and funded over $2 billon in invoices.  We have an A+ rating by the Better Business Bureau, see our Google reviews. To find out how invoice factoring can help get your startup off the ground, call Jack Stieber or Brad Gurney at 972-404-4726 or call complete our quick application form.

Voted best Invoice Factoring Company for SMBs for 2023 by


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