Invoice factoring, explained.

No. You sell invoices you've already earned at a small discount and receive cash now instead of waiting for your customer to pay. Nothing is added to your balance sheet as debt, and there's no monthly payment.

Nothing. Applying is free, there's no obligation, and starting the process doesn't affect your credit.

A short application, your current A/R aging report, a list of your top customers, and 1–3 sample invoices with proof of work such as a signed BOL, timecard or SOW sign-off.

New accounts usually take 2–5 business days for trucking and 1–2 weeks for staffing, depending on how quickly documents arrive and how fast your customers verify invoices.

Once your account is set up, often within a day of submitting an invoice. Funding partners typically verify within a couple of hours and wire funds directly to your account by ACH. Your first invoice takes longer, since your account still needs to be set up.

Advance rates typically run 85%–95% of the invoice. The balance, less the fee, is released when your customer pays.

Fees usually start at 2%–3% for the first 30 days, with roughly 1%–1.5% more for each additional 30 days the invoice stays unpaid. Some programs use a flat fee instead. Your funding partner sets the structure.

No. Our funding partners compensate us when your account funds. You're never invoiced by us.

No. Applying is free, and Nordthane never charges you anything, before or after funding. Your only cost is the factoring fee your funding partner charges on funded invoices, and that fee is disclosed upfront before you accept any offer.

With recourse, you're responsible if your customer never pays. With non-recourse, the funding partner absorbs certain credit losses, usually at a slightly higher fee. Neither covers disputes over work quality.

Usually not. Funding partners look primarily at the creditworthiness of your customers, since they're the ones paying the invoice.

Often yes. New MC authorities and newly formed staffing firms can qualify when their customers are creditworthy.

Work that isn't finished or documented, invoices already pledged to another lender, invoices to related companies, consumer invoices, and anything in dispute.

In most programs yes, because they're notified to pay a new remittance address. It's routine, especially with enterprise clients and freight brokers.

Rarely. Updating a remittance address is routine for most accounts payable departments, and funding partners communicate professionally when they reach out. Most clients don't notice a difference beyond where the payment goes.

An independent funding partner. Nordthane is not a lender or factoring company. We prepare your file, place it with the right partner, and stay your point of contact.

They're shared only with the funding partner reviewing your file, for the purpose of evaluating and funding your account.

Sometimes, depending on the program. Tell us what you need and we'll look for a partner that allows it.

We can still help. Many businesses switch for a better rate or faster funding, though you'll need to check your current contract for notice periods and termination terms.