contractor

Factoring / Purchase order financing

What type of product is it?

This product is presented as an alternative to line of credit. Essentially, it involves selling or insuring a portion of your accounts receivable to reduce the payment cycle. In other words, it gives you the opportunity to rapidly transform your accounts receivable into cash to avoid a shortage of funds. This type of financing is aimed at fast-growing companies in need of additional liquidity.

What are the special features of this financial product?

  • To qualify for a help of this nature, the borrower must sell his accounts receivable to a lender who will, in return, give him a certain percentage of their value.
  • This type of financing is profitable because it frees up substantial funds quickly.
  • It is not mandatory to notify your customers in this type of transaction. They may or may not be informed (silent or not) that their accounts payable have been sold.

What are the advantages of factoring / purchase order financing?

  • One of the significant advantages of this product is that it provides rapid access to additional liquidity.

In addition to helping you answer your questions, our experts at SADC can help you truly analyze your situation. What's more, an analysis of your long-term needs and the determination of an appropriate strategy The right financial solutions for your company could be developed at the same time.

See the list of different needs on the right. This financial product specifically meets the following needs:


Don't hesitate to apply to SADC for financing. We'll help you think through and implement your project. project.

Apply for SADC financing online

We've been supporting the region's retailers and entrepreneurs for 30 years.

Entrepreneurs in the Achigan-Montcalm region, find out more about our growth coaching and financing services.

Please do not hesitate to contact us for further information.

For information on CFDC or BDC services, financing or technical assistance, please contact your local CFDC or BDC. 

North American Directory of Programs and Grants

More than 6,000 programs and services are listed in this tool, and the SADC is there to help you in your search.