The U.S. Factoring Services Market size is expected to reach USD 287.61 billion by 2030 and expand at a CAGR of 8.1% from 2022 to 2030, according to a recent report by Grand View Research, Inc. The market growth can be attributed to the increased awareness and understanding of supply chain financing benefits, and the rising implementation of digital platforms in trade financing. The COVID-19 outbreak significantly affected the U.S. economy leading to supply chain and market disruptions, and inducing a severe financial impact on enterprises and financial markets. As a result, several trucking companies, such as eCapital, Thunder Funding, RTS Financial, and Apex Capital Corp, are having to adapt to the shifts in the supply chain with the help of technological advancements. This will improve the overall supply chain process by reducing operational costs and enhancing the security across the system.
The growing focus on the improvement of cash flow, reduction in day’s sales outstanding, and reduced accounting cycle time are the major factors driving the growth of the regional market. Manufacturing companies are looking for new opportunities to improve production processes, support employees in simplifying work while maintaining accuracy and create new and innovative products. Manufacturers are embracing new trends, especially in technology, to remain competitive in the market. With the growing propensity of businesses toward digitalization and automating the process, the demand for accounts receivable automation has seen a surge. The adoption of such types of technologies will further boost the factoring market in the U.S. during the forecast period.
The growing demand for precise management of accounting procedures and timely processing of payment processes from customers is contributing to the growth of the market. These capabilities streamline and improve performance by utilizing e-invoicing, scanning, and workflow, online tracking and reporting capabilities, mobile solutions, electronic invoice dashboards, and analytics for all invoices. It allows organizations to successfully drive the transformation of their accounts receivable departments to overcome the challenges of manual and paper-based processes. This will supplement the growth of the regional market during the forecast period.
U.S. Factoring Services Market Report Highlights