Invoice factoring — and a line-of-credit alternative

Invoice factoring turns unpaid B2B invoices into immediate cash. BuildUp Capital offers the same cash-flow benefit through a receivables-backed line of credit: you borrow against invoices owed by large, creditworthy companies and government agencies and keep your own customer relationships, rather than selling the invoices to a third party. Same problem solved — your structure, your customers. Available nationwide.

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If your business invoices other businesses and waits weeks to get paid, factoring is the classic fix: sell the invoice, get most of the cash now, and the factor collects from your customer. It works — but it also hands your customer relationships and collections to someone else.

We solve the same cash-flow gap a different way. With a receivables-backed line of credit, the invoices stay yours: you draw against them, you keep dealing with your customers directly, and the line grows as you bill. We focus on receivables owed by large, creditworthy companies and government agencies, so the line stays secured by payers who pay.

How it works

Three steps to a working line

Identify your eligible invoices

We look at invoices billed to creditworthy business and government customers on standard terms.

Draw against them

Advance working capital against those receivables as you invoice — the immediate cash benefit factoring is known for.

Keep your customers; repay as they pay

Unlike a factoring sale, you keep your customer relationships and collections. As invoices are paid, the line frees back up.

Who this is for

  • B2B companies with slow-paying customers
  • Manufacturers and wholesale distributors
  • Transportation, freight, and logistics
  • Staffing and professional services
  • Government contractors and suppliers
  • Businesses that want factoring’s cash flow without selling their invoices

Common questions

Questions about invoice factoring

What is invoice factoring?
Invoice factoring is selling your unpaid invoices to a third party (a factor) at a discount in exchange for immediate cash; the factor then collects from your customers. It’s a common way for B2B companies to bridge slow payment terms.
What’s the difference between factoring and a receivables-backed line of credit?
Factoring sells the invoice and hands collections to the factor. A receivables-backed line of credit lets you borrow against the invoice while keeping ownership of it and your customer relationship. We offer the line-of-credit structure.
Which one is right for my business?
It depends on your customers, your margins, and how much you value keeping collections in-house. We’ll walk you through the trade-offs honestly — and tell you if neither is the right fit.
Whose credit matters most?
The credit of your customers. Because repayment comes from your customers paying their invoices, we focus on receivables owed by large, creditworthy companies and government agencies.
Do I need real estate or hard assets?
No. The line is secured by your receivables, not by real estate. If you also own real estate and need a larger facility, we can lend against that too — see our real estate loans.

Explore more ways to fund your business

Payroll financingPayroll financing that turns unpaid client invoices into cash to make payroll on time.Learn more →Government-receivables financingFinancing against receivables owed by federal, state, and local government agencies.Learn more →Get working capitalTell us who owes you. A person typically responds within 24 hours.Start here →