The Founder’s Solution: Unlocking Working Capital for Startups with Invoice Factoring and Purchase Order Financing
Introduction: The Cash Flow Killer That Banks Ignore
Every ambitious founder knows the feeling: you’ve closed a major deal, secured a pivotal contract, or finalized a funding round. You are sitting on massive potential. Yet, your business is strangled by one silent killer: the 30, 60, or 90-day wait for payment.
Traditional banks see this as a problem of risk. They demand years of history, flawless credit scores, and heavy collateral. For a fast-moving, high-growth startup, these demands are roadblocks, forcing you to slow down, or worse – dilute your equity further.
At Factor & Fund, we see this waiting period as a colossal opportunity. We believe your business momentum, your sales pipeline, and your customer’s creditworthiness are the real assets. We offer an out-of-the-box approach to fast business funding designed to fuel growth, not stifle it.
Accounts Receivable Financing: Thinking Like Entrepreneurs, Not Underwriters
The single biggest difference between us and a traditional lender is our perspective. We don’t scrutinize your past – we finance your future.
We Fund Momentum: While a bank focuses on your balance sheet, we focus on your growth trajectory, the quality of your customers, and the credibility of your founders. We’re strategic operators who understand the cost of waiting.
H3: Two Tools to Control Your Timeline: Factoring vs. PO Financing
We offer flexible, non-debt solutions that inject liquidity exactly when and where you need it:
- Invoice Factoring (Post-Shipment): You ship the goods or complete the service, you issue the invoice, and you get paid immediately. We purchase the invoice, giving you an advance (typically 80-95%) of the value. This turns a long Net-60 payment term into 48-hour cash flow.
- Purchase Order (PO) Financing (Pre-Shipment): You land a significant order from a major retailer (like Costco or Walmart) but lack the cash to pay your supplier to produce the goods. We step in, fund the production directly, allowing you to fulfill the order and capture the profit without delay.
The result? Your sales cycle is no longer limited by your bank account.
The Growth Accelerant: Working Capital for Startups Post-Raise
The companies we partner with aren’t struggling – they’re thriving. They use Factor & Fund not as a lifeline, but as an accelerant to maximize their strategic runway.
Preserve Equity, Extend Runway: After closing a Seed or Series A round, the goal is to hit your next valuation milestone with as much equity intact as possible. Why dilute your cap table for a cash crunch that can be solved by simply monetizing your outstanding sales? Invoice factoring allows founders to:
- Fund Team Expansion: Hire essential staff immediately after a funding round closes.
- Bridge Capital Gaps: Cover payroll and overhead while waiting for large institutional or investor wire transfers.
- Delay Your Next Round: Use your own revenue to finance operations, significantly extending your time to your next valuation event.
Fueling the Sales Engine: For distributors and manufacturers, we provide the capital to meet massive demand. A major purchase order from a new customer is a gift, not a burden. PO financing ensures you can afford the raw materials, production costs, or finished goods to deliver on time, every time.
The Out-of-the-Box Advantage: Real-World Fast Business Funding
We don’t just offer products; we design solutions. Our clients are in high-growth B2B sectors that constantly battle long payment cycles:
- Apparel & CPG: Manufacturers fulfilling large POs for major national retailers.
- Staffing & IT Services: Agencies that must meet weekly payroll long before their B2B clients pay their Net-30/60 terms.
- Tech Hardware: Distributors with huge client orders but thin margins requiring fast business funding for inventory.
Case Study in Action: Turning a $250K Delay into 48-Hour Growth
A thriving technology distributor client had just secured a substantial contract. Their investor funds were secured, but their payment terms were a slow 60 days. Waiting meant delayed hiring and missed sales goals.
The Factor & Fund Solution: They utilized invoice factoring on their first $250,000 in receivables. They didn’t need a loan, nor did they want to sell more equity. They simply needed to access their money now. Within 48 hours, the capital was delivered. This allowed them to immediately hire the necessary support staff, deliver the product ahead of schedule, and continue growing at speed.
They got working capital for startups that understood their post-raise pressure.
Why Founders Choose Factor & Fund: The Entrepreneur’s Checklist
When you talk to our team, you’re not talking to a risk officer. You’re working with a funding strategist who values your time and opportunity.
- Speed: Fast approvals, often same-day funding for eligible accounts receivable financing.
- Clarity: We speak the language of entrepreneurs, not complex underwriting jargon.
- Flexibility: No long-term contracts or mandatory minimums.
- Equity Preservation: Our solutions keep your cap table clean and your valuation high.
If your company generates $20K–$5M+ per month in B2B receivables and is ready to turn delayed payments into an immediate growth engine, stop settling for the bank’s low-growth mentality.
Conclusion: Get the Capital to Grow Today – Don’t Dilute or Wait
If cash flow is the only bottleneck slowing down your scaling business, don’t wait. Don’t dilute.
Apply in minutes at Factor & Fund to unlock the working capital for startups you need today, based on your current invoices, future orders, and strategic financial opportunity.