Invoice factoring calculator
Enter your invoices and your customers' payment terms to see the cash available today and the reserve paid out later. Voxen's factoring facilities advance up to 95% of the invoice value, so $100,000 of invoices can bring up to $95,000 now. The other $5,000 is held as a reserve and paid to you, less the factoring fee, when your customer pays.
Start an applicationWhat the calculator asks for
- The amount of each invoice.
- Each customer's payment terms: net 30, 45, 60 or 90.
- Your factoring fee per 30 days, from your offer. This field is optional and starts empty: the calculator never fills in a fee for you.
How the calculation works
- Cash today = invoice value × the advance. At up to 95%, a $50,000 invoice brings up to $47,500.
- Reserve = invoice value − cash today. On that invoice, $2,500 is held until your customer pays.
- Fee = invoice value × your fee per 30 days × the 30-day periods until your customer pays. Net 30 is one period, net 45 is one and a half, net 60 is two, net 90 is three.
- Paid when your customer pays = reserve − fee.
Worked example
Two invoices: $50,000 to a customer on net 60 and $30,000 to a customer on net 30.
| Invoice | Customer terms | Cash today (95%) | Reserve | Fee for each 1% per 30 days | Reserve paid |
|---|---|---|---|---|---|
| $50,000 | Net 60 | $47,500 | $2,500 | $1,000 | Day 60 |
| $30,000 | Net 30 | $28,500 | $1,500 | $300 | Day 30 |
| $80,000 total | $76,000 | $4,000 | $1,300 |
You receive up to $76,000 today. The $4,000 reserve comes back in two parts: $1,500 around day 30 and $2,500 around day 60, each less its fee. Each percentage point of fee per 30 days costs $1,300 on these two invoices. Multiply $1,300 by the fee in your offer and take the result out of the $4,000 reserve. At the low end of the published range, a 70% advance, the same invoices bring $56,000 today and hold $24,000 in reserve.
What changes the numbers
- Your advance. Voxen facilities advance 70% to 95% of the invoice value, depending on your industry, your customers' credit and their payment history. Trucking and staffing typically see 90% to 95%.
- Late payment. A fee quoted per 30 days runs for as long as the invoice is unpaid, so a customer who pays late raises the fee. The calculator assumes each customer pays on its terms.
- How the days are counted. Some agreements count the fee by the day, others in full 30-day blocks. The calculator counts by the day; your written offer says which applies to you.
- Slow-paying customers. A customer with a slow payment history can lower the advance on that customer's invoices.
Your estimate
Assumes each customer pays on its terms. The fee is applied to the invoice value and counted by the day.
An estimate, not an offer. Real terms come in your written offer.
Frequently asked questions
How much cash can I get from my invoices today?
With a Voxen factoring facility, up to 95% of the invoice value: $100,000 of B2B invoices can bring up to $95,000 today. The advance on your file is set between 70% and 95%, depending on your industry and your customers' credit.
What is the reserve in invoice factoring?
The part of the invoice that is not advanced. At a 95% advance, it is 5% of the invoice. It is paid to you, less the factoring fee, when your customer pays.
How is the factoring fee calculated?
As a percentage of the invoice value for each 30 days the invoice is unpaid. Multiply the invoice value by the fee in your offer and by the number of 30-day periods until your customer pays. Your written offer sets the fee and how the days are counted.
Do my customers' payment terms change the cash I get today?
Not in this calculator: the advance is the same on net 30 and net 90. Terms change when the reserve comes back and how much fee comes out of it. In a real file, a customer with a slow payment history can lower the advance on that customer's invoices.
Is invoice factoring a loan?
No. Factoring is the sale of your invoices: the facility buys them and is paid by your customer. It adds no debt to your balance sheet.
Is this estimate an offer?
No. Your advance, your fee and how the fee is counted are set in your written offer, after Voxen reviews your invoices and your customers. There is no application fee and no credit impact to apply.