Glossary
Invoice factoring
Invoice factoring is selling your unpaid invoices to a firm that pays you most of the value at once, then keeps a fee and collects the debt.
What it means for a shop owner
It gives quick cash when customers pay slowly, but it costs more than waiting. You will not get the full amount. Compare it with better collection and payment terms before you use it.
A worked example
An invoice for 10000 is due in 60 days. You sell it and receive 9000 today. The cost of speed is 1000.
Related
Try it in your shop, free, no card.
The free plan: the whole shop for one branch, an offline cashier with stock, debts and accounting, with a daily limit on invoices, expenses and purchase orders. What it includes