A New York apparel wholesaler delivers a large order to a national retailer. The sale looks successful on paper, but the retailer will not pay for another 60 days. Meanwhile, the wholesaler must purchase fresh stock, pay warehouse expenses and meet payroll next week.
Invoice factoring solves this timing problem by converting approved business-to-business invoices into immediate working capital. The factoring company purchases or finances the receivables and then collects payment from the customer. Some companies below are headquartered in New York, while others serve New York businesses through nearby or nationwide operations. Here are our top factoring company picks for 2026.
1. Rosenthal Capital Group
Rosenthal Capital Group is one of the most established commercial finance companies headquartered in New York City. The family-owned business has supported companies since 1938 and serves approximately 550 clients. Its lending and factoring facilities can reach up to $40 million.
Rosenthal provides recourse, non-recourse and international factoring. Its services can include credit protection, customer-credit checking, collections, receivables management and advances against accounts receivable and inventory. The company also offers asset-based lending and purchase-order financing.
Its long connection with New York’s apparel and consumer-products industries is particularly valuable. However, Rosenthal now works with businesses across several sectors, including manufacturing, staffing, food and beverage, technology and professional services.
Why Rosenthal Capital Group is included: Its New York headquarters, long operating history and ability to combine factoring with inventory and purchase-order financing make it the strongest local all-round choice.
- New York headquarters: 300 Park Avenue, Suite 1401, New York, NY 10022
- Official website: https://www.rosenthalcapitalgroup.com/
2. CIT Commercial Services
CIT Commercial Services operates through First Citizens Bank and is one of the country’s largest and most experienced factoring organisations. CIT began offering factoring services in 1928 and has deep roots in New York’s commercial finance market.
The company primarily serves established middle-market consumer-product businesses. Important sectors include apparel, footwear, electronics, furniture, textiles, toys, health and beauty products, home furnishings and accessories.
Available solutions include notification factoring, non-notification arrangements, international factoring, receivables purchasing, asset-based lending and supply-chain finance. CIT also maintains a large buyer-credit database, which can help clients evaluate retailers and other customers before extending payment terms.
Why CIT Commercial Services is included: Its century-long experience, extensive buyer-credit information and strength in apparel and consumer goods make it especially relevant to established New York wholesalers and importers.
- New York address: 11 West 42nd Street, New York, NY 10036
- Official website: https://www.firstcitizens.com/commercial/solutions/commercial-services
3. Prestige Capital
Prestige Capital is a commercial finance company located in northern New Jersey, close to the New York market. Founded in 1985, it provides invoice financing to companies with annual sales generally ranging from $3 million to $300 million.
The company can consider businesses with as little as $250,000 in eligible accounts receivable. Prestige states that its programmes do not require monthly factoring minimums, and contracts may be available for periods as short as three months. Clients can also select which eligible receivables they want to finance rather than automatically submitting every invoice.
Most of its transactions are structured as non-recourse arrangements, subject to the actual contract. Prestige works with manufacturers, distributors, staffing businesses, service companies, transportation firms and businesses experiencing rapid growth or financial restructuring.
Why Prestige Capital is included: Its selective invoice financing and shorter contract options can suit New York businesses that want flexibility rather than a traditional whole-ledger factoring agreement.
- Office address: Park 80 West, Plaza One, 250 Pehle Avenue, Suite 313, Saddle Brook, NJ 07663
- Official website: https://www.prestigecapital.com/
4. Riviera Finance
Riviera Finance has provided invoice factoring since 1969. Its Mercerville office specifically serves New York City and businesses throughout New York and New Jersey. The company offers invoice factoring, accounts-receivable financing, freight factoring and payroll funding.
Riviera advertises non-recourse factoring in which it assumes qualifying customer-credit risk. Clients can select the invoices they want to factor, and approved invoices may be funded within 24 hours after verification.
Its New York experience includes funding arrangements for wholesale food, security, staffing and fashion-apparel businesses. Riviera may therefore be useful to small and mid-sized companies needing a more personal account-management approach.
Why Riviera Finance is included: Its nearby office, direct coverage of New York businesses and flexible non-recourse model make it a practical regional option.
- Regional office serving New York: 3525 Quakerbridge Road, Suite 904, Mercerville, NJ 08619
- Official website: https://www.rivierafinance.com/
5. eCapital
eCapital is a technology-focused commercial finance company serving businesses across the United States. Its services include invoice factoring, freight factoring, payroll funding, healthcare receivables finance, sales-ledger financing and asset-based lending.
The company is particularly strong in transportation, staffing, healthcare, manufacturing and consumer goods. Its digital platform provides round-the-clock account access, while one-hour and weekend funding may be available for qualifying clients.
eCapital can be useful when a growing New York company needs more than simple invoice factoring. Depending on the transaction, it may provide receivables, inventory, healthcare or supply-chain financing through the same broader organisation.
Why eCapital is included: Its industry-specific funding teams and digital account-management tools make it suitable for businesses needing fast and scalable national support.
- Corporate contact address: 20807 Biscayne Boulevard, Suite 203, Aventura, FL 33180
- Official website: https://ecapital.com/
What Should Businesses Compare?
Ask each company for a written explanation of the advance rate, factoring fee, reserve, minimum volume and contract length. Check for wire charges, credit-check fees, due-diligence costs, early-termination penalties and UCC filing expenses.
Businesses should also understand the difference between recourse and non-recourse factoring. Non-recourse coverage normally applies only to specified customer-credit events. It may not protect the business when an invoice is disputed because of defective products, incomplete work or incorrect billing.
Frequently Asked Questions
Q: Does factoring require excellent business credit?
A: Not necessarily. The factor normally pays close attention to the credit quality of the customers responsible for paying the invoices. However, it will still examine the business, invoices, tax position and existing liens.
Q: Will customers know that invoices are being factored?
A: Usually, yes, in a notification arrangement. Customers receive instructions to send payment to a controlled account. Non-notification structures exist, but they are generally offered selectively.
Q: Can a startup qualify for invoice factoring?
A: A startup may qualify when it has completed genuine work, issued eligible B2B invoices and has creditworthy customers. Expected orders or work that has not yet been completed normally cannot be factored.
Q: What happens when a customer disputes an invoice?
A: The factor may stop funding, reduce availability or require the business to replace or repurchase the disputed invoice. Factors generally finance verified receivables rather than unresolved contractual claims.
Q: Is factoring cheaper than a bank loan?
A: Not always. Factoring can cost more than conventional bank credit, but approval may be faster and funding can grow with eligible sales. Businesses should compare the total dollar cost rather than looking only at the advertised percentage.