What Is Invoice Factoring?
Invoice Factoring—also known as Accounts Receivable (AR) Financing—is a powerful cash flow solution that helps businesses unlock the money tied up in unpaid invoices. Instead of waiting 30, 60, or even 90 days to get paid, Lily Pad Financial advances you up to 95% of the invoice value—within 24 to 48 hours.
You focus on running your business; we handle the waiting, the credit checking, and the collections.
How Does It Work?
- Issue an invoice to your customer as usual.
- Send a copy to Lily Pad Financial.
- We verify the invoice and advance up to 95% of its value.
- When your customer pays, we forward you the remaining balance—minus a small factoring fee.
This fast, reliable funding model bridges the gap between service delivery and payment, keeping your business liquid without loans or credit lines.
Why Choose Lily Pad Financial?
- Advance up to 95% of invoice value within 48 hours
- No debt – this is not a loan, there’s no interest, and it doesn’t impact your balance sheet
- Full-service collections – we handle follow-ups and credit management
- Real-time account access to monitor funding and payments
- Flexible contracts – factor one invoice or your entire receivables portfolio
Our program is giving you institutional-grade reliability with boutique-level attention.
Industries We Serve
Lily Pad Financial works with B2B businesses across multiple sectors. Whether you invoice once a month or daily, we tailor our process to your workflow.
- Trucking & Freight
- Staffing Agencies
- Janitorial Services
- Government Contractors
- Printing & Manufacturing
- Technology & SaaS Companies
- Medical & Home Health Providers
- Wholesale & Distribution
Factoring Benefits at a Glance
- Fast Access to Cash – get working capital without loans or lines of credit
- Eliminate Waiting – stop depending on slow-paying clients for survival
- Improve Credit Control – we run credit checks on your customers to reduce risk
- Grow Without Debt – fund operations and payroll as you scale
Who Qualifies?
- U.S.-based business with invoices to creditworthy commercial or government clients
- Invoices with clear terms (e.g., net-30, net-60)
- $10,000+ in monthly receivables
- Active business checking account
New, growing, and even credit-challenged businesses are welcome—approval is based on the strength of your receivables, not your credit score.
Non-Recourse Factoring Available
Worried about bad debt? We offer non-recourse factoring options, meaning we assume the risk if your client doesn’t pay—subject to credit approval. This gives you true peace of mind and protects your bottom line.
Use Cases
- Cover payroll for a growing temp agency
- Fund a janitorial company with city contracts
- Pay fuel and driver costs for a trucking fleet
- Unlock working capital for a packaging manufacturer
If your business provides services or goods and then waits to get paid, invoice factoring is your missing cash flow solution.
FAQs – Invoice Factoring
Q: Is factoring the same as a loan?
A: No. Factoring is a financial transaction where you sell your invoice for immediate cash. There’s no loan, no interest, and no added debt.
Q: Will my clients know?
A: Yes. Most factoring is “disclosed,” meaning your client pays us directly. We maintain a professional tone and protect your business relationships.
Q: What if I only want to factor some invoices?
A: That’s fine. We offer flexible programs that allow you to factor only the invoices you choose.
Q: How long does it take to get started?
A: Most new clients are funded within 48 hours of approval. Setup is fast, and our team walks you through each step.
Start Getting Paid Faster
Lily Pad Financial helps you transform outstanding invoices into immediate working capital. Our invoice factoring program gives you the control and cash flow you need to grow—without taking on debt or giving up equity.
Apply Now or call (866) 220-1137 to speak with a factoring specialist.