Factoring is a financial service that allows carriers and brokers to get paid faster by selling their invoices to a third-party factoring company. In Alvys, the factoring workflow is designed to support this process from load creation all the way to invoice funding, regardless of which factoring company you use.
🔧 Initial Setup
To use factoring in Alvys, follow these steps to prepare your environment:
1. Configure Your Notice of Assignment
Each factoring company provides a Notice of Assignment (NOA): a statement declaring they have the right to collect payment on your behalf.
To add it in Alvys:
Go to Company Profile
In the Document Configuration section, click the
+iconSelect Notice of Assignment from the dropdown
Paste the NOA text from your factoring provider
Click Save
This step ensures all invoices reflect your factoring agreement.
2. Add the Factoring Invoicing Method
Factoring can be enabled as an invoicing method in two places:
Globally: Set a default invoicing method for an entire subsidiary in Company Profile → Invoicing Settings
Per Customer: Override the global settings for specific customers in their Customer Profile → Invoicing tab
To use factoring, select Factoring Company as the delivery method in the invoicing settings.
⚠️ Important: When using factoring, the AutoMerge option must be enabled. This ensures that required documents like the Invoice, POD, and Rate Confirmation are automatically combined into a single file — a format that factoring companies require.
3. Connect to Your Factoring Provider
Once your invoicing method is configured, you’ll need to connect Alvys to your factoring provider.
To do this, go to Integrations, find your provider under the Factoring section, and follow the steps to authenticate and activate the integration.
📚 Need help setting this up? View our full collection of factoring integration guides here.
📈 General Workflow for Factoring in Alvys
Once you're set up, here’s the full factoring flow in Alvys:
1. Create and Deliver a Load
Create a load and assign a carrier
Move it through the standard lifecycle (Dispatched → Delivered)
2. Release the Load
Once the load is delivered and documents are received (POD, rate con, etc.), move it to the Released status
This prepares it for invoicing
3. Click Generate Invoice
This merges the necessary documents (Customer Rate Confirmation, POD, Invoice)
The load now enters the Queued status
4. (Optional) Credit Check
If your factoring integration supports broker credit checks (e.g., OTR, Saint John Capital):
Credit checks may run automatically at invoice time (if older than 24h)
You can also manually trigger checks from the Customer Profile or Load Details
Loads with a declined credit check may be blocked from submission depending on the provider.
5. Submit Batch to Factoring
Go to Factoring Upload under the Accounting tab
Select your Subsidiary
Choose loads in Queued status
Click Submit Batch
Loads must meet criteria like having a truck assigned, customer MC# set, etc.
Depending on your provider:
For API integrations (OTR, Apex, TAFS), this submits the data directly
For manual factoring (Capital Depot), you’ll download the batch and send it yourself
🧾 Uploading Purchase & Payment Reports
To track factoring activity in Alvys, you need to upload:
Purchase Report (Confirms which invoices were financed by the factoring company)
Steps:
Download the report from your factoring portal
Go to Reports → Factoring Reports
Select the batch and click Upload Purchase Report
Alvys updates all included loads to Financed
Payment Report (Marks which invoices have been paid in full by the customer or broker)
Steps:
Download from the factoring portal
Go to Reports → Factoring Reports
Click Upload Payment Report
Loads in the report will be marked as Completed
🧠 Load Status Summary (Factoring-Relevant)
Status | What It Means |
Released | Load ready for invoicing |
Queued | Invoice created, ready for submission to factoring |
Invoiced | Invoice submitted (factoring or customer) |
Financed | Invoice purchased/funded by factoring company |
Completed | Full payment received |
Factoring in Alvys is designed to work smoothly, whether you're using a fully integrated provider or handling things manually. Once you've configured your invoicing settings, set up your notice of assignment, and connected your factoring provider, the rest of the workflow — invoicing, batch submissions, and status tracking — happens right inside Alvys. If your team follows these general steps, you’ll avoid errors, speed up funding, and keep everything organized for smoother cash flow.