When freight and shipping companies use invoice factoring, it is usually because they have an immediate business need and require access to funds. Often, these funds are used to pay normal operating expenses, or are needed to perform emergency repairs or maintenance. Factoring payments are generally processed through an ACH transaction or even a paper check. Although these payment types are familiar to both the shipping company and the factoring provider, they both have limitations. ACH transactions cannot be settled at night, on weekends, or during holidays. Likewise, checks face similar delays and must be mailed or delivered to the shipping company. Instant payments over the RTP^® network eliminates that processing time making it ideal for any shipping company.  

Invoice factoring companies, such as a Quickpay Funding, started using instant payments to provide their clients, mostly small and medium sized businesses, the funding they need immediately, providing 24/7 service and removing any wait time.

Now, with instant payments over the RTP^® network, clients of factoring companies can receive a payment the second they send an invoice to the company. The result is a smoother process that allows shipping companies to receive money as soon as their invoice is approved, resulting in better cash flow so they can keep their shipping fleet on the road.