Invoice finance
Invoice Finance
£50k–£25M facility. Up to 90% advance. From 1.95%.
Turn your unpaid invoices into working capital. Whole-turnover factoring, confidential invoice discounting, and selective spot facilities — we shop the full UK invoice finance panel to match the right structure and price to your business.
What is Invoice Finance?
Invoice finance is working capital lending against your unpaid customer invoices. Rather than waiting 30, 60 or 90 days for customers to pay, the lender advances up to 90% of the invoice on day one and pays the balance (minus a fee) when the customer settles.
Three main structures exist. Factoring is disclosed — the lender collects from your customers and typically handles credit control. Invoice discounting is confidential — you keep the customer relationship and collection function in-house. Selective (or spot) factoring lets you pick individual invoices rather than assigning the whole book.
Invoice finance is tightly matched to B2B businesses with genuine debtor books and 30–90-day terms. Recruitment, manufacturing, wholesale, logistics, and professional services are the classic use cases. Facilities typically run from £50,000 to £25M with advance rates of 80%–90%.
Why Use Us for Invoice Finance
Whole-panel pricing
Invoice finance pricing varies wildly between lenders. We benchmark service fees and discount rates across 25+ providers to find the right structure for your ledger.
Factoring or discounting
We match you to disclosed or confidential facilities depending on your size, credit function, and customer sensitivity. No one-size-fits-all.
Selective and spot available
Need to finance one invoice or one customer? We access selective facilities with no lock-in and no whole-book commitment.
Up to 90% advance
Day-one cash against qualifying invoices. Balance released net of fees on customer payment — fully automated across the best lenders.
Industries Where Invoice Finance Works
Why Use a Broker for Invoice Finance?
Invoice finance is the most variably-priced product in UK business lending. Identical ledgers routinely receive quotes 40%+ apart across the panel. Going direct means taking whichever lender replies first.
Going direct to a single lender
- — One provider's fee structure
- — No visibility on competing advance rates
- — Risk of being sold factoring when discounting fits better
- — Locked into whole-turnover when selective would suffice
Using The Finance Brokers
- — Priced across 25+ invoice finance lenders
- — Structural advice: factoring vs discounting vs selective
- — Service fee and discount rate benchmarked
- — No lock-in where your cash-flow pattern needs flexibility
How It Works
Share your debtor book
Basic info: monthly turnover, average debtor days, top customers, sector. We gauge what advance and pricing the panel will support.
We shop factoring & discounting
We run the deal across disclosed and confidential lenders, surfacing structure, advance rate, fees, and lock-in side by side.
Facility live in weeks
Selective facilities can go live in 3–5 days. Full whole-turnover discounting typically takes 2–3 weeks through debtor book due diligence.
Frequently Asked Questions
What is invoice finance?
Invoice finance is working capital lending against your unpaid customer invoices. The lender advances up to 90% of each invoice value on day one, and releases the balance (minus a fee) when your customer pays. It turns 30–90-day payment terms into same-day cash.
What's the difference between factoring and invoice discounting?
Factoring is disclosed — the lender collects payment from your customers directly and handles credit control. Invoice discounting is confidential — you keep collection in-house and customers don't know finance is in place. Factoring typically suits smaller businesses without a credit function; discounting suits established businesses with their own credit control.
How much does invoice finance cost?
Pricing has two parts: a service fee (typically 0.3%–3% of turnover depending on facility type and complexity) and a discount rate charged on the drawn balance (usually Bank of England base rate plus 1.5%–4%). Confidential discounting is cheaper than factoring because there's no credit-control workload for the lender.
Can I finance just one invoice or one customer?
Yes — selective invoice finance (also called spot factoring) lets you pick individual invoices or customers rather than assigning your whole sales ledger. It's more expensive per invoice than a whole-turnover facility but carries no long-term commitment and no lock-in.
What industries does invoice finance suit?
Anywhere with B2B invoicing and 30–90-day payment terms: recruitment and staffing, manufacturing, wholesale, logistics, engineering, construction (via CIS-aware lenders), media, and professional services. B2C businesses and retail generally don't qualify because they don't invoice their customers.
How quickly can an invoice finance facility go live?
A confidential invoice discounting facility typically takes 2–3 weeks from application to first drawdown — the main driver is debtor book due diligence. Selective or spot factoring can go live in 3–5 working days on smaller facilities. We sequence the panel against your cash-flow urgency.
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Ready to turn your invoices into cash?
Share your monthly turnover and top customers. We'll benchmark factoring, discounting, and selective options across the UK invoice finance panel.