Purchase invoice factoring Purchase invoice factoring – manage your company’s working capital successfully!
Watch our video for a quick overview of how purchase invoice factoring works.
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How does it work?
You receive a purchase invoice from suppliers.
You fill in a simple factoring application and upload the purchase invoice
We transfer the payment to you on the same business day (24-hour guarantee)
You repay the credit upon the expiry of the term.
The entire process consists of 4 simple and logical steps. It is that easy!
It takes just a few minutes and the money arrives within a few hours. 24-hour guarantee.
Why choose purchase invoice factoring?
Improve your competitiveness
Offer your clients longer payment terms to boost competitiveness. Simultaneously, import and buy larger quantities of goods to grow turnover and profit.
Cover unexpected expenses
Use purchase invoice factoring to cover unforeseen costs or seize a profitable business opportunity when funds are limited.
Strengthen supplier relations
Ensure timely payments to suppliers with the help of Factor Finance, to help build trust and improve relationships with suppliers.
Purchase invoice calculator
Invoice amount:
Payment term
Saate kohe raha kasutada:
Estimated credit fee::
* Calculations made with the calculator are approximate and informative, therefore, they may differ from the terms offered to you.
FAQ Everything you need to know!
Please explain, what is the purchase invoice factoring service?
Purchase invoice factoring allows you to receive credit to pay your company’s purchase invoices, taxes, leases, advances, and other business-related costs on time.
With purchase invoice factoring, you choose the purchase invoices of your company that you wish to factor. The company submits the invoice to Factor and applies for credit to pay it. Factor has the right to approve or decline the credit application, considering each case individually. If the decision is positive, Factor transfers the credit amount to the company’s bank account, minus the agreed fee.
Purchase invoice factoring helps you better manage your working capital and meet your financial obligations on time. It is also an excellent alternative to long-term overdraft facilities.
What are the costs and fees of the purchase invoice factoring service?
- Contract signing fee: €0
- Limit fee: €0
- Client account opening fee: €0
- Mandatory monthly service usage: not required
- Early termination fee: €0
- Credit fee: As we provide personalised and confidential offers to each client, please contact our client service to get a specific offer. You can reach us on weekdays from 9.00–16.00 at +372 660 4095 or +372 502 2335 or email us at info@finance.ee
Can new and small businesses use the purchase invoice factoring service?
Yes, the service is available to all companies registered in the Republic of Estonia, including new, small and medium-sized businesses. Since this is a financial service, we recommend consulting with a specialist before using the service to ensure an informed and well-considered decision.
What obligations will I take on for my company when signing the contract?
Signing a contract with Factor Finance does not bind you to anything, but rather gives you the freedom to use the service as needed.
Do I need to pledge my assets to you when signing the contract?
The service requires collateral, but the specific type of collateral will be agreed upon during negotiations.
I have a new company. Can I begin using purchase invoice factoring?
Yes, but we would prefer to start by factoring your company’s sales invoices first. Later, once we have established a reliable partnership, we can offer you purchase invoice factoring.
What kind of purchase invoices can I factor?
You can factor any business-related cost invoices that you have not yet paid and for which you have an outstanding financial obligation.
Do you finance invoices that are already overdue?
Yes, with purchase invoice factoring, you can also use the service for invoices that have already passed their due date, as well as for prepayment invoices.
What happens if I fail to repay the credit on time?
If you are unable to meet your financial obligations, either partially or in full, by the agreed deadline, please be sure to contact our client service on weekdays from 9.00–16.00 at +372 660 4095 or +372 502 2335, or via email at info@finance.ee
How much credit can I apply for?
The minimum limit for purchase invoice factoring is €3,000 and the maximum is €90,000.
Can purchase invoice factoring be used for invoices from foreign countries, i.e. import invoices?
Yes, you can use the service for import invoices as well.
How quickly can I receive the payment for my invoice?
If the decision is positive, we will transfer the funds to your company’s bank account on the same or the following business day. We offer a 24-hour guarantee!
Do I have to factor all my purchase invoices, or can I select just a few?
You have full freedom to choose which invoices you would like to use the purchase invoice factoring service for.
How can I use the purchase invoice factoring service?
Please send the invoice for which you want to apply for credit, along with the requested credit amount and usage period, to info@finance.ee.
Why choose Factor Finance for purchase invoice factoring?
- Improves company liquidity and cash flow
- Ensures timely solvency and reduces credit risks
- Allows for the immediate payment of purchase invoices and negotiation for discounts from suppliers
- Improves your credit rating
- Strengthens relationships with business partners
Can the contract be terminated at any time?
Yes! Once you have fulfilled all your financial obligations, you can terminate the contract without any additional costs.
Do I need to pledge my assets to you when signing the contract?
Unlike other financial institutions, we do not require any asset pledge or mortgage when signing the contract.
If I wish, can I terminate the contract immediately, and how much will it cost me?
You can terminate the contract at any time you deem appropriate. There will be no additional financial obligations associated with the contract termination!
