Manufacturing financing: the right program for how your shop runs
Invoice factoring, equipment financing, PO financing, working capital, ABL, and SBA — compared side by side with real ranges. We refer you to the right institution, not our own balance sheet.
Manufacturing financing, in 60 seconds
Manufacturing financing is not one product. It is a category of funding programs built around the cash-flow cycle of a manufacturing business: buying materials, producing goods, invoicing customers, and waiting to get paid. The most common programs are invoice factoring for net-term receivables, equipment financing for machinery, purchase order financing for confirmed orders, working capital for short gaps, asset-based lending for larger revolving needs, and SBA or term loans for long-horizon growth. The right fit depends on your customers, credit, revenue, and industry.
Manufactor Finance is an independent business financing referral service. We do not lend, bank, or invest. We match manufacturers with funding partners and are compensated by those partners only after funds are received.
Which program fits your situation?
Match the business problem to the program, then compare the real ranges below
If this sounds like you
I delivered work and am waiting 30 to 90 days to get paid
Invoice Factoring: Sell unpaid B2B or B2G invoices for immediate cash. Approval leans on your customers' credit.
Explore Invoice FactoringIf this sounds like you
I need to buy or replace machinery, tooling, or a production line
Equipment Financing: Finance up to 100% of the asset cost with fixed payments. New, used, and private-party equipment.
Explore Equipment FinancingIf this sounds like you
I have a confirmed PO but cannot self-fund materials or production
Purchase Order Financing: The funder pays your suppliers directly; repayment comes from the end customer's payment.
Explore Purchase Order FinancingIf this sounds like you
I need to bridge payroll, materials, or a short cash gap
Working Capital: Fast, short-term capital based on revenue and bank activity, not a long underwriting process.
Explore Working CapitalIf this sounds like you
I have a large AR ledger and inventory and want a scalable line
Asset-Based Lending: A revolving line secured by receivables, inventory, and equipment. Lower cost for the right profile.
Explore Asset-Based LendingIf this sounds like you
I am buying real estate, acquiring, or refinancing for the long term
SBA & Term Loans: The lowest cost of funds, but the longest timeline and most documentation.
Explore SBA & Term LoansHonest ballpark ranges
No teaser rates. Anyone promising a specific number before seeing your file is guessing. Here's the honest range each program tends to price and fund in — your actual offer depends on your customers, credit, revenue, and industry.
| Program | Advance / Size | Typical Cost | Speed to Fund | Best For |
|---|---|---|---|---|
| Invoice Factoring | 80–95% of invoice | ~1–3.5% per 30 days | 3–10 days to first fund | Slow-paying commercial/gov customers |
| Equipment Financing | Up to 100% of cost | ~7–18% APR (credit-driven) | 5–15 business days | Buying/replacing machinery |
| PO Financing | Up to 100% of supplier cost | ~2–6% per 30 days | 2–4 weeks | Large POs from strong buyers |
| Working Capital | $25K–$5M | Factor rates or APR — varies | 2–7 business days | Short-term gap coverage |
| Asset-Based Lending | Up to 85% AR + 50% inventory | ~SOFR + 3–8% | 3–8 weeks | $5M+ ledger, sustained borrowing |
| SBA / Term Loan | Up to $5M | ~Prime + 2.75–4.75% | 45–120 days | Long-term, real estate, expansion |
Ranges are directional. Your referral report will show real terms specific to your file.
Real cost math, worked through
Two concrete examples so you can see how the numbers actually move. These are illustrations, not quotes.
Invoice factoring example
You invoice a creditworthy buyer for $100,000 on net-60 terms. A factor advances 90% and charges 2% per 30 days.
- Invoice amount$100,000
- Advance (90%)$90,000 in days
- Reserve held$10,000
- Fee at 60 days (2% × 2)$4,000
- Net reserve back to you$6,000
Your actual advance and fee depend on your customers' credit, invoice concentration, and volume.
Equipment financing example
You buy a $250,000 CNC machine. The lender finances 100% at 12% APR over 60 months.
- Equipment cost$250,000
- Financed amount$250,000
- Term60 months
- Approximate monthly payment$5,550
- Total interest (illustrative)~$83,000
Rate and term depend on credit, time in business, asset age, and whether the machine is new or used.
Am I a fit?
10-second prequalifier
If most of these describe your shop, we can almost certainly place you into a program
US-based manufacturer
You produce goods in the United States
B2B or B2G customers
You invoice other businesses or government agencies — not consumers
$25K+ in monthly revenue
Or a confirmed purchase order that gets you there
Net-15 to net-90 terms
Your customers pay on invoice terms, not COD
Not sure? We'll tell you honestly — no fees to you either way.
The process from first call to funded
No 60-second miracle. Real steps, from your first message to the partner's decision.
- 1
Start the conversation
Day 0Send a request, call, or chat. No obligation.
- 2
We match
Day 0–1Our team reviews your request and looks for a funding partner that fits.
- 3
Partner contact
Partner's timelineIf a partner thinks they can help, a specialist from that partner contacts you to discuss next steps.
- 4
Secure application
Partner's timelineThe partner sends its own secure application.
- 5
Underwriting
Partner's timelineThe partner reviews your file.
- 6
Offer
Partner's timelineThe partner presents its offer, rate, terms, and total cost in writing.
- 7
Sign and fund
Partner's timelineIf you accept, you sign directly with the partner, and the partner funds it.
- 8
Back to work
OngoingBuild, ship, grow.
What can make a file hard to place
We would rather tell you upfront than waste your time. These issues do not always kill a file, but they often mean waiting until the situation is cleaned up.
- Consumer-facing sales with no commercial or government invoices to factor
- Pre-revenue operations with no confirmed purchase order and no revenue history
- Unresolved tax liens that would intercept funding before it reaches you
- Recent bankruptcy still inside the lender's lookback window
- Concentrated customer base where one buyer represents most of your revenue and that buyer's credit is weakening
How this compares to alternatives
Manufacturers have more options than the programs we refer. Here is how they stack up so you can decide whether to start with us, your bank, or both.
Bank line of credit
Best: Usually the lowest cost if you qualify.
Tradeoff: Tough approval for newer shops, often capped below growth needs, and can be called.
SBA 7(a) / 504
Best: Lowest long-term cost for real estate, equipment, and acquisitions.
Tradeoff: 45 to 120 days and heavy paperwork. Not for urgent gaps.
Equipment lease
Best: Keeps cash in the business and may offer tax advantages.
Tradeoff: You do not own the asset at term-end on a fair-market-value lease.
Merchant cash advance / revenue-based financing
Best: Fast and light on paperwork.
Tradeoff: Highest effective cost and daily/weekly repayment can strain cash flow.
Dive into each program
Every program page carries the same honest ranges, qualification detail, and FAQs
Invoice Factoring
Explore turning unpaid invoices into working capital instead of waiting on net-60 or net-90
See detailsEquipment Financing
Finance new or used machinery, CNC, robotics, and production lines
See detailsPurchase Order Financing
Get the capital to fulfill large customer orders without straining cash flow
See detailsAsset-Based Lending (ABL)
Revolving lines secured by receivables, inventory, and equipment
See detailsWorking Capital
Short-term capital to bridge payroll, materials, and growth spikes
See detailsSBA & Term Loans
Longer-term, lower-cost capital for growth, real estate, or acquisitions
See detailsManufacturing financing FAQs
Manufacturing financing is the set of funding programs built around how a manufacturing business actually moves cash. Instead of one generic loan, it usually means invoice factoring against unpaid B2B receivables, equipment financing for machinery, purchase order financing to fulfill a confirmed order, working capital for short gaps, asset-based lending for larger revolving needs, or SBA and term loans for long-horizon growth. The right program depends on your customers, terms, revenue, and what you are trying to fund.
Most manufacturers stack two programs. Invoice factoring covers the gap between delivering work and getting paid. Equipment financing buys the machine that lets them deliver more. PO financing funds a specific large order. Working capital bridges payroll or a materials buy. ABL and SBA come in once the shop has the revenue, collateral, or time horizon to qualify for larger, lower-cost facilities.
The baseline is a US-based manufacturer producing goods domestically, with B2B or B2G customers, $25K or more in monthly revenue or a confirmed purchase order that gets there, and net-15 to net-90 payment terms with customers. Factoring and PO financing lean on your customers' credit; equipment, working capital, ABL, and SBA lean more on your revenue, time in business, and collateral.
No. Manufactor Finance is an independent business financing referral service. Our team reviews your request and looks for a funding partner that fits. You sign directly with that institution, and we are compensated by the funding partner only after you actually receive funds. You never give up equity, and we never charge you application, origination, or closing fees.
Directional ranges by program: invoice factoring 3 to 10 days to first fund, working capital 2 to 7 business days, equipment financing 5 to 15 business days, PO financing 2 to 4 weeks, asset-based lending 3 to 8 weeks, and SBA or term loans 45 to 120 days. A complete, clean file is what keeps you at the fast end of any range.
No. Anyone promising a specific number before seeing your file is guessing. The ranges on this page are directional. Your actual advance rate, factor rate, APR, or fee is set by the funding institution during underwriting, after they review your customers, credit, revenue, industry, and use of funds.
Common disqualifiers include consumer-facing sales with no commercial invoices, pre-revenue operations with no confirmed PO, unresolved tax liens that would intercept funding, recent bankruptcies still inside the lookback window, and buyers with deteriorating credit. Some files are not ready today but are fixable in 30 to 90 days; we tell you exactly what to clean up before reapplying.
Not exactly. A business loan is one product inside the broader category. Manufacturing financing also includes factoring, which is the sale of receivables, not a loan; equipment financing, which is secured by the asset; PO financing, which is repaid from a specific order; and revolving lines backed by collateral. The category is defined by the use case, not the product shape.
Looking specifically for manufacturer loans?
Our manufacturer-loans hub explains when a traditional loan fits, when another structure is more practical, and what the funding institution reviews
Compare manufacturer loan optionsFinancing for harder files
Credit bruises, no operating history, a bank decline, thin paperwork, a lien, or an existing advance. Each of these is placeable, and each changes which program fits.
Bad credit
Sub-600 FICO, past charge-offs, thin personal credit
Startup under 1 year
Under 12 months, first customers, no tax returns yet
Declined by the bank
Declined line of credit, denied term loan, withdrawn renewal
No financials
No P&L, unfiled returns, cash-basis bookkeeping
Tax lien or UCC filing
IRS or state liens, blanket UCC, prior lender filings
Second position and stacked debt
Multiple MCAs, daily debits, second position requests
Manufacturing financing by market
Each metro hub carries local buyer patterns, the programs that fit that market, and funding pages for the industries concentrated there
Ready to keep production moving?
Start with a quick inquiry or a phone call. We'll tell you exactly what the right program requires. At no charge.
Apply. Fund. Deliver. No obligation.
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