Invoice Factoring in Canada
Convert unpaid invoices into immediate cash. Instead of waiting 30, 60, or 90 days for customers to pay, receive most of the invoice value upfront. Strong receivables become predictable cash flow, without taking on debt.
- Typical deal size
- Facilities from $100K to $20M+. Typical setup: 2–4 weeks.
- Best for
- B2B businesses that invoice creditworthy commercial or government customers on terms
- Markets
- Canada-wide. Cross-border options available.
What is invoice factoring?
Invoice factoring is a working-capital facility where a lender advances most of the value of your eligible accounts receivable as soon as you raise the invoice. When your customer pays, the balance is released to you, less a small fee. It is not a loan and does not appear as debt on your balance sheet.
Who fits this facility
- B2B businesses that invoice creditworthy commercial or government customers on terms
- Manufacturers, wholesalers, distributors, transport operators, and staffing firms
- Growing companies whose cashflow is held back by long customer payment cycles
- Businesses turned down by banks because of short trading history or thin balance sheets
Common use cases
- Cover payroll without waiting for slow-paying customers
- Buy inventory and raw materials at scale
- Take on larger contracts without choking working capital
- Bridge seasonal revenue cycles
How it works
Issue an invoice
You raise an invoice for completed work or delivered goods, just as you do today.
Submit to the lender
The factoring company verifies the invoice and advances typically 80–90% of its value within 24 hours.
Customer pays
Your customer pays the lender directly on the invoice due date.
Balance released
You receive the remaining balance, minus the agreed fee.
Why invoice factoring clients pick McMillan
- Founder Neil McMillan built and ran a factoring company
- Direct relationships with specialist factors across North America
- We structure facilities to protect your customer relationships
- Honest advice on when factoring is, and isn’t, the right tool
Common questions
There are confidential and disclosed structures. We help you choose the one that fits your business.
Most facilities can fund the first invoice within 1–2 weeks of approval.
Many facilities allow selective factoring of specific debtors or invoices.
Pricing depends on volume, debtor quality, and structure. We always show full costs before you commit.
Yes, factoring is one of the few facilities available to early-stage businesses with creditworthy customers.
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