IDIQ (Indefinite Delivery, Indefinite Quantity)
A contract vehicle that lets an agency order an indefinite amount of work over a set period via task orders.
An IDIQ — Indefinite Delivery, Indefinite Quantity — is a contract vehicle that lets an agency order an indefinite amount of work over a set period through individual task or delivery orders, rather than committing to one fixed scope up front. It gives agencies flexibility and gives contractors a pipeline of potential work.
The challenge for cash flow is unpredictability: task orders arrive on the agency's timeline, each with its own performance and invoicing, so revenue can be lumpy. You may need to mobilize quickly for a new task order, then wait out the usual federal payment cycle.
Invoice factoring smooths this out by advancing cash against each task order's invoices, so unpredictable timing doesn't become a cash crunch.
Frequently asked questions
What is an IDIQ contract?
A contract vehicle (Indefinite Delivery, Indefinite Quantity) that lets an agency order an indefinite amount of work over a set period through individual task or delivery orders.
How does financing help with IDIQ work?
Because task-order timing is unpredictable, factoring advances cash against each task order's invoices so you can mobilize and operate without waiting out lumpy payment cycles.
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