Accounts Receivable (A/R) Financing

Unlock the Value of Your Invoices Today.

Is your business waiting on customer payments? Accounts Receivable (A/R) Financing provides a smart, efficient way to access immediate working capital, allowing you to grow without the constraints of delayed payments.

What is A/R Financing?

A/R Financing is a funding solution that lets you leverage your outstanding invoices to get cash quickly. Unlike traditional loans, it’s flexible, scalable, and designed to improve your cash flow without disrupting your customer relationships.

At State Financial, we offer A/R Financing that puts you in control. Your customers pay you directly, and you get the funds you need to keep your business moving forward.

Why Choose A/R Financing?

Maintain Control: With support from AR factoring companies, you retain customer relationships since collections remain in your hands and clients aren’t notified.
Fast Funding: Access capital the same day, eliminating the wait for slow-paying customers.
Cost-Effective: Only pay for the funds you use—no hidden fees or reserve requirements.
Simple Process: Streamlined reporting and minimal paperwork make managing your financing easy.
Scalable Growth: As your business expands, your financing grows with you, ensuring ongoing access to capital.
Improved Liquidity: Easily cover expenses, invest in opportunities, and manage unexpected costs.

How A/R Financing Works

1. Submit Invoices

Provide your unpaid invoices as collateral.

2. Receive Funding

Get a percentage of the invoice value immediately.

3. Collect Payments

Your customers pay you directly.

4. Repay and Re-Borrow

As invoices are paid, funds become available for new financing

A/R Financing vs. Invoice Factoring: Key Differences

Feature	Invoice Factoring	A/R Financing
Customer Notification	Customers are notified and pay the factoring company.	Customers are not notified; you manage payments.
Credit Checks	Focuses on customer credit.	Focuses primarily on your business.
Cost Structure	Fees based on invoice age.	Interest on borrowed amount only.
Reporting	Extensive reporting.	Simplified reporting.
Reserves	Holds reserves.	No reserves held.
Funding Speed	Variable	Same-day funding.

Why A/R Financing is the Better Choice

A/R Financing gives businesses fast access to cash while keeping full control of customer relationships. It offers a confidential alternative to traditional factoring, ensuring clients interact directly with you. Unlike receivables factoring companies that purchase invoices, A/R financing acts like a credit line backed by receivables.

Who Benefits from A/R Financing?

Companies with long payment cycles.
Small to mid-sized businesses needing consistent cash flow.
Businesses seeking a cost-effective alternative to factoring.
Growing businesses looking to scale.

A/R Financing FAQs

01. How quickly can I access funds with A/R Financing?

We offer same-day funding, allowing you to quickly access the working capital you need.

02. Will my customers know I'm using A/R Financing?

No. Unlike factoring, A/R Financing is confidential. Your customers will continue to pay you directly.

03. How is A/R Financing different from invoice factoring?

A/R Financing allows you to maintain control of collections and customer relationships, while factoring involves the factoring company taking over those functions.

04. Is my business eligible for A/R Financing?

Businesses with consistent B2B (business-to-business) invoices are typically eligible. Eligibility depends on the quality and consistency of your receivables.

05. How can A/R financing help my business during economic uncertainty?

A/R financing provides a reliable and flexible source of cash flow, which can be essential for businesses navigating economic downturns or fluctuations.

Get Started

Send us your basic contact information and a member of our staff will contact you shortly. All Communication is private and confidential.

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