What are Factoring costs and how to calculate them easily

Factoring is becoming increasingly popular among businesses looking to improve cash flow. One of the first questions we often hear is: “How much does factoring actually cost?” Factoring costs vary depending on several factors, such as invoice amount, payment terms, and risk. Fortunately, you don’t have to calculate it manually because our Factorscan lets you determine your fee in just a few minutes.

What are factoring costs?

Factoring costs are usually a percentage of the invoice value. This fee is paid to the factoring company in exchange for the immediate payment of your invoices. Instead of waiting weeks or months for your money, you gain instant working capital.

The fee depends on:

• The number of invoices you want to factor

• The payment terms of your customers

• The risk the factoring company assumes

• Your industry or sector

On average, costs range from 1% to 5% of the invoice amount.

Why use our Factorscan?

Many business owners find it difficult to calculate factoring costs accurately. That’s why we created the Factorscan:

• ✅ Get an instant overview of your factoring costs in minutes

• ✅ Transparent calculation with no hidden fees

• ✅ Personalized results based on your business situation

• ✅ Quick and easy online tool, no obligations

Simply enter a few details, such as your average invoice amount and the number of invoices per month. The Factorscan will calculate your personalized factoring fee immediately.

Benefits of Factoring

In addition to knowing your costs upfront, factoring offers several key advantages:

• Fast payments: no more waiting weeks for cash

• Reduced risk: credit risk is often transferred to the factor

• Business growth: increased liquidity allows you to invest and expand

Try the Factorscan Today

Want to know how much factoring will cost you? Try our free Factorscan. In just a few minutes, you’ll have a clear view of your factoring costs and the benefits it can bring to your business.

👉 Start the Factorscan here