How does invoice financing work?
Invoice financing is a simple way for businesses to improve their cash flow by selling their invoices and getting cash right away compared to waiting out the 15-120 day terms typical for invoices to be paid by clients.
At Investly, we have tried to make the process as simple as possible. To finance your invoices just follow these simple steps:
- Sign up. Using our sign up form, fill out your company information and upload bank statements that will aid in us quickly approving your application.
- Upload invoices. Once you have been approved by the Investly team, upload any invoices you would like to sell on our platform.
- Get cash in your account. Your invoice will go to auction that usually lasts one to two days. During this time, investors will place bids on your invoice and compete to offer you the best rate. From the bids, we choose the ones that are cheapest to you. At the end of the auction, the funds will be deposited in your account minus the discount fee (more about fees).
- Your client pays. One the due date, you client will make a payment to our bank account.
What is the difference between factoring and invoice financing?