INVOICE FINANCING

Unlock working capital from your outstanding invoices

Invoice Financing — also known as Factoring — enables SMEs to convert their receivables into immediate cash by selling their unpaid invoices to financial institutions, improving cash flow and supporting day-to-day operations.

Loan amount:

Up to 90% of the invoice face value

Interest Rate:

0.7% – 3% per month with 1 – 3% success fee

Subject to credit assessment

Duration:

15 days – 180 days

INVOICE FINANCING in Singapore

Unlock working capital from your outstanding invoices

Invoice Financing – also known as Factoring – enables SMEs to convert their receivables into immediate cash by selling their unpaid invoices to financial institutions, improving cash flow and supporting day-to-day operations.

Loan Amount:

Up to 90% of the invoice face value

Loan Amount:

1-3% per month with 2-3% success fee

Subject to credit assessment

Tenor:

15 days – 1 year (up to the payment due date of the invoice)

Access competitive Invoice Financing options with with our network of lenders

What is Invoice Financing?

Invoice Financing is a common funding solution that helps businesses improve their operating cash flow by shortening receivable cycles.

This facility allows a financier to advance a percentage of your outstanding invoices in exchange for a small discount. The financier then manages the collection process on your behalf.

Compared to a traditional business term loan, Invoice Financing is often more cost-effective and accessible, as repayment is primarily based on your buyer’s creditworthiness rather than your company’s cash flow.

Invoice Financing Process Flow

  • 1
    Invoice Issuance

    On Day 1, the Client sells $200,000 worth of manufacturing products to Buyer A and issues an invoice with 60-day payment terms. Buyer A is scheduled to make payment on the 60th day from the date of sale.

  • 2
    Selling the Invoice

    On Day 15, the Client requires $100,000 in working capital to purchase new inventory. To free up cash flow, the client sells the $200,000 receivable from Buyer A to a Financier. The financier notifies Buyer A of the assignment and instructs payment to be made directly to the financier on the invoice due date (Day 60).

  • 3
    Advance Disbursement

    After verifying the invoice details, the Financier advances 90% of the invoice value, less a 1% facility fee — resulting in $178,000 disbursed to the client within 24 hours.

  • 4
    Buyer Payment

    On Day 60, Buyer A remits the full $200,000 payment directly to the financier (either to the financier’s account or a client-designated trust account).

  • 5
    Final Settlement

    Upon receiving the payment, the Financier releases the remaining 10% of the invoice value to the client, less interest charges of approximately 1% per 30 days.

    In this example, the total cost of financing amounts to $3,600 ($1,800 factoring fee + $1,800 interest).

Break Free from Payment Term Limits

Unlock your cash flow instantly by leveraging your receivables to fund operational expenses, overheads, or business expansion — without waiting for long payment cycles.

Key Benefits:

  • Zero Collateral Required – No Collateral required
  • Fast & Simple Application – Approval within 48 hours
  • Advance Up to S$1,000,000 – Cash out up to S$1,000,000
  • Flexibility – Finance range of invoices based on your needs

Estimate

Repayment Calculator

Understanding your monthly repayment is essential to ensure affordability. Use our calculator to estimate your payments and explore the options available to you.

Enter total amount you wish to borrow.
8
1.0%

*This calculator is for demonstration purposes only. Values are rounded up to the nearest dollar.

Principal
145,000 SGD
Interest
6,601 SGD
Total Payable
151,601 SGD
Admin Fee (3%)
(Deducted upfront from loan disbursement)
4,350 SGD
Monthly Repayment
18,951 SGD

Qualify

Eligibility Criteria

Business registration

Incorporated in Singapore (including LLP, Sole proprietorship)

Business ownership

At least 30% of the company owned by Singaporeans / PR

Credit of shareholders

No existing default records

Period of Business Operations (from date of incorporation)

At least 3 months of operating revenue

Steps

Get Financing in Just 3 Steps

Single application to get offers across various lenders, transparent rates, and dedicated support at every step.

1

Submit Your Application

Provide basic company & financial details

2

Compare Offers

Get matched with lenders offering the most competitive terms

3

Receive Funds

Once approved, funds are disbursed directly into your account

FAQ

Frequently Asked Questions

It allows companies to get paid up till 90% of invoices early, which in turn enables companies to bridge cashflow and prevents them from being locked in unpaid invoices. It gives SMEs a short-term cash flow solution in a cost efficient way.

Usually, it takes up to a month to get credit line approval.

Normally, financiers will provide a credit limit of up till $100 million. This is dependent on the credit history of your end buyer.

Usual business documents like Bank statements, financials, guarantor’s NOA are required. Other documents required are listed as follows:

  • Last 6 months of all operating bank statements
  • Last 2 years financials
  • Latest 2 years guarantor’s NOA
  • AR & AP ageing report
  • List of suppliers and buyers
  • Purchase order / Letter of Award

Disbursement fee as well as interest fee, etc. For detailed information, kindly reach out to us via the contact page for more information.

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