Cost of Capital Math

What a 1.42 factor actually costs

A 1.42 factor on $150K over 8 months is roughly $63,000 in cost. Here's the arithmetic nobody walks you through before you sign.

July 24, 2026 · 7 min read

Factor rate is not an interest rate — the conversion, step by step

Full copy for this section is pending final review. The argument is the one this practice makes everywhere: the structure of the deal matters more than the size of the offer, and the cost of finding out late is measured in years of terms you can't undo.

The daily/weekly remit and what it does to your operating cash

Full copy for this section is pending final review. The argument is the one this practice makes everywhere: the structure of the deal matters more than the size of the offer, and the cost of finding out late is measured in years of terms you can't undo.

This is exactly what the Position Review calculates for your file.

Annualized cost when the term compresses

Full copy for this section is pending final review. The argument is the one this practice makes everywhere: the structure of the deal matters more than the size of the offer, and the cost of finding out late is measured in years of terms you can't undo.

The break-even test: what the money has to produce to be worth it

Full copy for this section is pending final review. The argument is the one this practice makes everywhere: the structure of the deal matters more than the size of the offer, and the cost of finding out late is measured in years of terms you can't undo.

Find out what your file actually looks like before anyone submits it.