You can concentrate on growing your business. No lost profits because you do not have the funds to fill new or larger orders. Your costs should not be nearly that high, and cash on hand would enable you to take advantage of those supplier discounts. If you have a non recourse arrangement with your factor, the responsibility for collection rests with the factor. A non recourse contract typically costs you a higher discount.
Most factoring is done on a recourse basis.
This means that your customer is still considered your debtor, and you are in control of the collection process utilized. Your funding source will allow you to either exchange invoices, or pay the invoice amount out of your reserves. The discount fees will still apply.