Invoice Factoring Net Advance Calculator

About this calculator

Invoice factoring lets a business sell an unpaid invoice to a factoring company for immediate cash instead of waiting 30, 60 or 90 days for the customer to pay. This calculator works out exactly what lands in the business's account: the gross advance (invoice amount × advance rate, typically 70–90%), minus the factoring fee (a percentage the factor charges for the service), leaving the net advance.

The remaining balance beyond the advance — minus the fee — is typically released once the customer pays the invoice in full. Small businesses and B2B companies with long payment cycles use factoring to bridge cash-flow gaps without taking on traditional debt, and this calculator lets them see upfront exactly how much cash a given invoice will actually put in hand today.