Find the Best Oil & Gas Factoring Companies to Grow With

Oil and natural gas are essential to the US economy for both consumers and businesses alike. As production and competition heat up (no pun intended) finding the best oil and gas factoring company to partner with for cash flow financing is the key to growth. We’re here to help—we have relationships with top oilfield factoring companies who are ready and waiting with the financing tools to expedite your company’s cash flow so you can grow faster.

What sets the best oil and gas factoring companies apart?

While the process of invoice factoring remains largely the same as it has for centuries, the best oil and gas factoring companies are constantly evolving. They are working on ways to better serve factoring clients, finding more reasons to say “yes!” and implementing best practices for customer vetting, underwriting, and more to give you the highest advances and keep your factoring rates low.

Need more info? Find out exactly how oil and gas factoring works.

What’s our role? We have partnered with top US invoice factoring companies that prioritize customer service, including the care of your customers. They offer competitive rates for oilfield invoice factoring, including high advances and low factoring fees and they don’t nickel and dime you with additional administrative fees.

The best oil and gas factoring companies also provide:

• Fast funding (and we do mean fast!) as early as the same day an invoice is factored
• Fast underwriting processes and high approval rates
• Free credit checks to help you vet new customers
• Competitive factoring rates and advances
• Recourse, non-recourse, and non-notification factoring options
• Specialty services like small invoice factoring (aka micro factoring)
• No long-term contracts or heavy penalties for early termination
• No factoring minimums – no monthly dollar amount or number of invoice requirements

One of the big perks of working with us is getting an oilfield factoring program that keeps you in the driver’s seat. No one wants to be locked into a factoring contract that requires you to factor invoices when it doesn’t serve your business’ interests. The best oil and gas factoring companies won’t require you to factor a minimum dollar amount or a minimum number of invoices. And should you decide to stop factoring or move to another factor, you won’t have to choose between staying on board for several months or paying a hefty penalty to terminate your contract.

What are the benefits of factoring oil and gas invoices?

The main benefit of factoring invoices is to speed up cash flow. In turn, this allows you to fund special needs. For example, you can factor invoices as a form of a payroll loan. Best of all, since you’re leveraging unpaid customer invoices and not accessing forms of credit that come along with compounding interest rates, you can use payroll factoring occasionally or regularly with confidence.

Factoring is also an ideal way to access working capital when unexpected expenses crop up. For instance, if a piece of equipment fails and requires a spendy repair or full replacement, you can unlock the money to cover this cost by factoring one or several invoices. It gives you money when you need it!

Factoring doesn’t impact your credit score or rely on it. With bank financing including bank loans or lines of credit, your company’s credit history comes in big time. With factoring, it’s your customer’s credit score that matters. Plus, since it’s not credit-based debt like a loan, line of credit, or a credit card, it doesn’t impact your credit score and won’t hurt your ability to get credit.

For that matter, factoring doesn’t come with exponential costs like compounding credit and high fees like you’ll pay with credit cards. In most cases, a low factoring fee (from 2-6%) will be your all-in cost for this form of financing.

Oil and gas factoring can also create advantages for your business. For example, you can leverage access to working capital as the means to negotiate lower costs with suppliers and vendors since you can pay them more quickly. Alternatively, if they have cash or quick-pay discounts in place, you can take advantage of those cost saving opportunities. And since the factoring company is the one waiting on customer payments, you can extend more generous payment terms to your customers as a competitive advantage.

Oilfield factoring calculator

If you’ve never studied up before on invoice factoring, you can use the invoice factoring calculator below to estimate what you’ll pay in terms of factoring rates based on the invoices you might want to factor. It will show you the factoring fee and show you how much money you could receive in a same-day advance when you factor invoices instead of waiting weeks or months for customers to pay.

Ready to get started? Fill out our invoice factoring application online and we’ll get to work sourcing top oil and gas factoring companies and connect you with the best options. If you just want more information, simply fill out the quick quote form below and we’ll get in touch with a free, no-obligation quote.