It is helpful to understand how a factoring company distinguishes between a client and a customer. A company seeking receivable factoring would be known as the “borrower†or “client.†The client gets sign up to fund with their factor. The factor provides capital to their clients.
The client uses invoices made out to their “customers†for the purpose of getting the funding. The factoring company will be checking the creditworthiness of the customers to determine whether to fund an invoice. As long as the customer has accepted the work as complete the invoice will be financed.
You seeking capital are the client, and you have customers who owe you payments from invoices.