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Haul Math

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Freight Factoring Calculator

Put in the terms from each factoring offer and see what each one really costs you per month, per invoice, and per year.

Your invoices

Example numbers are filled in. Change them to match your month.

Same as invoices if each one is funded on its own. Lower if you batch.

Check your own history. Tiered fees go up the longer a broker takes.

Offer 1

The % of the invoice they charge in the first period.

Use a big number (like 90) for a flat rate.

Added for each period below, or part of one. 0 if none.

% of the invoice paid up front. The rest is the reserve.

If your % fees come in under this, you pay the difference.

Offer 2

The % of the invoice they charge in the first period.

Use a big number (like 90) for a flat rate.

Added for each period below, or part of one. 0 if none.

% of the invoice paid up front. The rest is the reserve.

If your % fees come in under this, you pay the difference.

Your result

Two example offers are filled in. Put in the terms from your own offers and tap "Compare factoring costs".

How this calculator works

Fee = invoice amount × fee rate. Many factoring companies charge a base rate for the first stretch of days, then add more for each extra period until the customer pays. For example, "2% for 30 days, plus 0.5% for each 10 days after" means an invoice paid on day 45 costs 2% + 2 × 0.5% = 3%. Enter a big number of base days (like 90) for a flat-rate offer.

Monthly cost adds up the percentage fees on your monthly volume, a top-up if you fall under a monthly minimum, per-invoice fees, ACH or wire fees for each funding, any monthly service fee, and a share of one-time application or setup fees spread over the months you pick.

Annualized cost (APR-style) = (monthly cost ÷ cash advanced) × (365 ÷ days to pay). Cash advanced is your monthly volume times the advance rate. This is simple interest with no compounding, so you can compare factoring against a line of credit or a card rate. It isn't a Truth in Lending APR, and factoring isn't a loan.

Advance and reserve. The advance rate is the share paid up front. The rest is the reserve, which the factor holds until your customer pays and then releases, minus fees. A 100% advance means there's no reserve and the fees come out of the advance.

Recourse vs. non-recourse is shown as a label. With recourse, you buy back invoices that go unpaid. Non-recourse offers often cover only a customer's credit failure (like bankruptcy), not disputes or short pays. Read the contract for what it covers, how long the term runs, and what it costs to leave.

The two offers filled in are made-up examples so the page shows a result on the first tap. They aren't typical rates. Use the numbers from your own offers.