True cost of factoring calculator | Turner Funding Partners

Example numbers are filled in. Replace them with yours. Nothing you type leaves this page.

Your invoices

Invoices a month Total you factor in a typical month

Number of invoices a month Loads, timesheets or bills

Days your customers take to pay Average, from invoice to payment

days

The quote

Quoted rate The fee on each invoice

Advance Share of each invoice paid to you up front

The rate covers the first

days

then adds

every

days

If your quote is one flat fee no matter how long customers take, set the added rate to 0.

The fees

Monthly fees Service, maintenance, software or reporting

Fee per invoice Processing or submission fee

Fee per transfer Wire or same day payment fee

Transfers a month How often you get paid

Monthly minimum If you factor less, you pay the fee as if you hit it

One time fees Application, due diligence, lien filing

Contract length One time fees are spread over this

months

Fee to leave early Termination fee in the agreement

Fees to find in your agreement

Extra days
Many rates only cover the first 30 days. When customers pay late, more is added every 10 or 15 days, and slow payers can quietly double your cost.
Monthly minimum
A promise to factor a set amount each month. In a slow month you pay the fee on the minimum, not on what you factored.
Monthly service fees
Maintenance, software, reporting or account fees charged whether you factor or not.
Per invoice and transfer fees
Small charges for each invoice submitted and each wire or same day payment. They add up at volume.
One time fees
Application, due diligence and lien filing fees charged to open the account.
Reserve
The part of each invoice held back until your customer pays. It is your money, but you wait for it, so a lower advance means less cash now.
Termination fee
What you owe to leave before the contract ends. Some agreements also hold your reserve until the account is closed out.
Automatic renewal
Most agreements renew on their own unless you give notice in a short window, often 30 to 90 days before the end date. Miss it and the clock starts over.