FAQs
Answers to the Questions You're Actually Asking
Not product descriptions. Real answers to the concerns that matter before you decide whether factoring is right for your business.
No questions match your search.
$900M+
Funded
4 Hrs
Repeat Invoice Funding
Non-Recourse
A/R Options Available
Human
Decisions — Not Bots
Common Questions
Speed & Process
What happens after you apply, and how fast it actually moves.
Get in touchHow quickly can I get funded after applying?
Your first invoice is funded within 48 hours as we set up your account and verify your first invoice. Once your account is active, subsequent invoices are funded within 4 hours of submission. The first approval requires additional verification steps — customer credit checks, document review, and account setup — that don’t repeat for every invoice. We tell you this upfront because it’s the accurate answer.
How long does the application take?
The initial form takes about 5 minutes. We don’t require financial statements, tax returns, or business plans to apply — just basic business information, your industry, and the names of the customers you want to factor. There’s no application fee and no credit check on your business.
What happens if my customer pays late?
After you submit the application, a licensed underwriter is assigned to your account. We verify your customers’ credit, confirm your invoice details, and issue a written proposal. You review the proposal with no obligation to sign. Your first invoice is funded within 48 hours of your completed application. See the full step-by-step process on our How It Works page →
Common Questions
Your Customers & Collections
The most common concerns — about the Notice of Assignment and how we interact with your customers.
Get in touchWill my customers know I'm using factoring?
Yes — and this is worth understanding clearly. When you factor an invoice, we send a Notice of Assignment (NOA) to your customer directing payment to Sigma. This is a standard, legal industry practice used by thousands of businesses. Our collections team contacts your customers professionally and courteously — exactly as you would. The NOA does not indicate financial distress. The vast majority of clients experience no friction with their customers. We do not contact your customers aggressively or in ways that could damage your relationship.
What does your collections process look like?
We send standard payment reminders at 30, 45, and 60 days. Our team is trained to represent your business professionally — they are not debt collectors, and we don’t use aggressive tactics on non-delinquent invoices. Professionally managed collections is a service we provide, not a threat. We’re handling your A/R follow-up so you don’t have to.
What happens if my customer pays late?
Late payment is our problem to manage, not yours. We follow up on your behalf at no additional charge. Under non-recourse factoring, if your customer becomes insolvent and cannot pay the invoice, we absorb that loss entirely — you keep the advance and owe us nothing. Under recourse factoring, you would be required to repurchase the invoice. Most Sigma clients are on non-recourse terms. Your proposal specifies which structure applies to each customer on your account.
Common Questions
Non-Recourse & Risk
What protection you actually have — and where the limits are. No false promises.
Get in touchWhat does "non-recourse" actually mean?
Non-recourse factoring means that if your customer goes bankrupt or becomes insolvent and cannot pay the invoice, we absorb that loss — not you. You’re only responsible if there’s a dispute between you and your customer that invalidates the invoice (for example, a services dispute or claim that the goods weren’t delivered). Credit risk is ours. Performance risk is yours. That’s the line. Read the full non-recourse explainer
What is not covered under non-recourse?
Invoice disputes. If your customer refuses to pay because of a disagreement about the quality of work or goods delivered — not because they can’t pay, but because they won’t — that’s not a credit risk event and is not covered by non-recourse protection. We work with you to resolve disputes, but credit risk and dispute risk are structurally different things. We explain this upfront because no factor should be promising otherwise.
Do I need to provide a personal guarantee?
No. We fund based on your customers’ creditworthiness, not yours. We do not require personal guarantees as a standard condition of factoring. Your personal assets are not on the line. This is one of the structural advantages of factoring over most bank lending products — the credit evaluation runs through your customer, not through you.
Common Questions
Costs & Terms
What factoring costs, how the fee is calculated, and what you're committing to.
Get in touchHow much does factoring cost?
Our fees vary based on your industry’s risk profile, your customers’ credit quality, and your invoice terms — so we don’t publish a one-size-fits-all rate. Use our Capital Estimator for a real-time illustration, or get a proposal and we’ll show you the exact fee for your specific invoices. No surprises after you sign.
Are there hidden fees?
No. One flat fee per invoice factored. No wire fees, no monthly minimums, no setup fees, no termination penalties. What’s shown in your proposal is what you pay — no line items appear at closing that weren’t disclosed upfront.
Is there a minimum monthly volume?
None. There’s no minimum invoice volume or monthly submission requirement. You can factor one invoice or a hundred — entirely on your schedule. Some clients use Sigma every week; others factor selectively based on cash flow need. You’re in control of the cadence.
Is there a long-term contract?
No. Our standard agreement is month-to-month with 30 days notice prior to renewal. There’s no annual commitment. If your situation calls for different terms — including exit provisions tied to a specific business event like a bank line of credit becoming available — we can modify the agreement to fit. Our agreements are flexible by design.
Common Questions
Eligibility
Which invoices, industries, and businesses qualify for Sigma's factoring facility.
Get in touchWhat industries do you work with?
We fund businesses across a wide range of B2B industries. Our primary verticals include:
Staffing
Manufacturing
Trucking
Construction
Professional Services
Wholesale Distribution
Healthcare
Government / Defense
Logistics / 3PL
If your industry isn’t listed, contact us — we evaluate each portfolio individually.
What invoice size do you fund?
There’s no minimum or maximum invoice size. We structure solutions around your specific invoice profile — from smaller recurring invoices to large single-customer transactions. Eligibility is based on your customer’s creditworthiness, not the dollar amount. If your invoice is legitimate, deliverable, and issued to a creditworthy B2B customer, it’s generally eligible.
Do my customers need to be creditworthy?
Yes. We fund invoices where your customer is a creditworthy business. We evaluate your customer’s credit — not yours. Most established B2B customers qualify without issue. Government entities, large enterprises, and publicly traded companies qualify easily. Smaller or newer customers may require additional review. Non-recourse eligibility is determined per customer based on this evaluation.
Do you fund invoices to consumers (B2C)?
No. We fund B2B invoices only — your customers must be businesses, government entities, or non-profits. Consumer receivables (invoices to individual people) are not eligible for factoring through Sigma. If your revenue mix includes both B2B and B2C, we can work with the B2B portion of your A/R.