Guides
Business financing cost guides
Long form, plain English explanations of how each financing product is priced, what the numbers mean and where the money actually goes. Every guide uses the same assumptions as our calculators.
Educational estimates only. This page is general information, not financial advice. Cost of Financing does not offer, broker or arrange loans, and we accept no lender sponsorships, referral fees or lead payments.
What invoice factoring really costs in 2026
Factor rates, advance rates, reserve holdbacks and the fees buried in the master agreement, converted into an effective APR.
Read guideThe true cost of a merchant cash advance
Why a 1.35 factor rate is not a 35 percent cost, how daily remittance compresses the term and what the real APR usually looks like.
Read guideSBA 7(a) loan costs explained: rates, guarantee fees and closing costs
The 2026 rate caps by loan size, how the guarantee fee is calculated and what closing actually costs.
Read guideFactoring vs a line of credit: which costs less
A side by side cost comparison on the same working capital need, including the cases where factoring genuinely wins.
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