Factoring
vs. Loans:
The breakdown
Fast access to cash
Debt added
Easy approval process
Helps cover growth needs
Works for newer businesses
Fast approval & funding
Affect credit (+ or -)
Long-term, predictable capital
Minimal paperwork
Flexible with higher-risk deals
Works for new or growing businesses
Fixed repayment schedule
Invoice Factoring
Loan
Quick Guides
Frequently asked questions
Learn how factoring works and what to expect with WideQ.
Invoice factoring is simply a way to turn your unpaid invoices into fast working capital. Instead of waiting 30, 60, or 90 days to get paid, you send us your invoice and we advance you a large portion right away. Your customer still pays on their usual schedule, just like they always do. Once the payment comes in, we release the remaining reserve and subtract our transparent fee. It’s a straightforward way to smooth out cash flow without taking on new debt.
At a glance:
At a glance:
- You send an invoice
- You get most of the funds upfront
- Customer pays as usual
- You receive the reserve minus our fee
No — factoring is not a loan. You’re not borrowing money, and you’re not adding liabilities to your balance sheet. Instead, you’re getting an advance on money already owed to you, which means no interest rate and no long-term commitment. Your customer pays the invoice exactly the same way they normally would; you just access the cash sooner so you can keep your business moving.
Key differences:
Key differences:
- No debt or interest
- No personal credit required
- No balance sheet liability
- You’re advancing your own earned revenue
If your customer takes longer than expected to pay, you’re not penalized — there’s no interest or late fees added to you. The factoring fee simply continues until the invoice is paid. It’s typically calculated in small increments (for example, every 10 days).
If a payment runs late:
If a payment runs late:
- We follow up politely and professionally
- You’re never chased or pressured
- Funding continues as usual for other invoices
Factoring fees are simple: a small percentage of the invoice amount, based on the strength of your customer and how long they take to pay. There’s no interest rate, no compounding, and no extra surprises, we’ll just include a transparent service fee that’s set up front. Because you’re accelerating money already owed to you, the cost is often outweighed by the opportunities you can take immediately.
Your cost depends on:
Your cost depends on:
- The credit quality of your customer
- How quickly they pay
- How many invoices you plan to factor
- The overall volume we handle for you
Yes. The more invoices you factor — and the more consistency we have in volume — the better your rate can be. When we can see a steady flow of receivables from reliable customers, we’re often able to reduce our fee because the risk decreases. Many clients start with a few invoices and receive improved pricing as their volume grows.
Rate improvements can come from:
Rate improvements can come from:
- Higher monthly invoice volume
- Factoring multiple customers
- Reliable payment histories
- Long-term partnerships
Factoring works best for companies that invoice other businesses or government entities—especially when payment terms run long. We typically support service-based and contract-driven industries where cash flow gaps can slow down operations.
Industries we commonly fund:
We work with many types of businesses. Reach out to see if we can help yours.
Industries we commonly fund:
- Healthcare, ABA, and Medical staffing
- Government contractors
- Professional services & facility maintenance
- Security, IT, and field services
We work with many types of businesses. Reach out to see if we can help yours.
Our approvals are designed to be fast and practical. We mainly look at the strength and reliability of your customer, because they’re the ones paying the invoice. As long as the work is completed, documented, and billed to a solid payer—like a healthcare system, logistics carrier, or government agency—there’s a good chance you’ll qualify. We focus on real-world performance instead of rigid lending checklists.
What matters most:
What matters most:
- Your customer’s payment history
- Completed work or delivered goods
- Clear, legitimate invoices
Government contracts often come with long payment terms, which can make it hard to cover staffing, materials, or startup costs. Factoring is a simple way to bridge that gap. You get fast upfront cash so you can hire, mobilize, or deliver without slowing down. We handle communication professionally and understand the compliance and documentation flow that comes with government work.
Why it helps:
Why it helps:
- Smooths out slow pay cycles
- Supports rapid growth
- Reduces strain during long mobilization periods
Healthcare reimbursements move slowly, but your payroll and staffing needs don’t. Keeping close track of aging invoices and tightening documentation follow-ups can help avoid delays. Factoring adds another layer of stability by giving you fast access to cash while you wait for reimbursements. With steady cash flow, your team operates more confidently and your patient care stays consistent.
Simple practices:
Simple practices:
- Review aging each week
- Fix missing documentation early
- Use factoring to stay ahead of payroll
