What is the Advanced Rate?
The Advanced Rate is the percentage advanced on your invoices. For example, you sent a $10,000.00 invoice to be factored, the factor advances 90% of that invoice to you ($9,000.00) via wire transfer to your bank account within 24 hours. The additional 10% of the invoice is sent to you by the factor (less service fee) once the invoice is paid by your customer. Typical advances are 90% to 92% of the invoice, but the actual Advanced Rate (as high as 95%) is based on the age of the invoice (10,30,60,90,120 Days), the financial strength and credit worthiness of your customers.
