Factoring fee calculator
Prices checked
Quick answer
Your factoring cost is invoice volume × rate, plus any flat fees (wire, ACH, per-invoice, monthly minimums). Divide the total by volume to get your effective rate, and compare that number across quotes, not the headline rate.
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Monthly factoring cost
$500.00
- Percentage fee
- $500.00
- Flat fees
- $0.00
- Effective rate
- 2.50%
- Yearly cost
- $6,000.00
- Cash advanced upfront
- $19,000.00
Math only. Enter the numbers from your written quote. Doesn’t model tiered rates, reserves or chargebacks.
Published rates to test
| Company | Published rate | Flat fees |
|---|---|---|
| DAT Outgo | 3% under $18K/mo; 2.5% $18K–$80K source | ACH free; wire $20; instant 1% (max $20) |
| Bobtail | 1.5%–3.5% typical source | No ACH/processing/invoice fees |
| Porter | 1.5% first 60 days source | Ask for a quote |
See all 12 companies on best factoring companies for owner-operators, or read how factoring works.
Frequently asked questions
What is an effective factoring rate?
It is your total monthly factoring cost, including flat fees, divided by the invoice amount you factored. A 2.5% rate with $20 wires on 8 invoices a month on $20,000 is an effective 3.3%.
Does the advance rate change my cost?
Not directly. The advance rate is how much you get upfront. The rest (the reserve) comes when the broker pays, minus the fee. Some companies charge more for higher advances, so ask.