Advances against client invoices to fund talent, media and production.
Marketing and advertising agencies front talent, media buys, production, and technology costs weeks before they invoice the client. Corporate clients pay on net-30 to net-60 terms. The agency carries the float on every active engagement. Factoring against the client invoice puts cash back in the account before the next campaign cycle.
- 01
Vendor and freelancer terms are shorter than client payment terms
Designers, copywriters, media vendors, and production houses bill the agency on short terms or at completion. Client invoices for the same work are collected on 30- to 60-day terms.
- 02
Media placements typically require advance payment
Platforms and publishers require payment in advance or on short terms. The agency funds the media investment before the client invoice for that spend is collected.
- 03
Concurrent engagements create parallel working capital commitments
Each active client engagement carries its own vendor and freelancer costs. Multiple simultaneous campaigns generate independent cash outlays that run in parallel before the corresponding invoices are collected.
Creative agencies, media buying firms, digital marketing agencies, and PR firms invoicing commercial clients. Annual revenue $200K to $10M+.
- ·AR aging report
- ·Sample client invoices and engagement contracts
- ·Vendor payment schedule (if relevant)
- ·Voided check for ACH funding
- 01Advance against approved client invoices so the agency can pay freelancers, fund media buys, and take on new engagements without waiting on net-60.
- 02The desk monitors the receivable and tracks payment, preserving the client relationship. The agency retains responsibility for collection.
- 03Facility accommodates project-based and retainer billing.
- Funding speedOnce approved
- AdvanceSubstantial against face value
- Debtor typeCommercial clients
- Billing typeProject-based or retainer
- CollectionsMonitored by the desk. Client retains collection responsibility.
- Personal guaranteeNot required on the invoice