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Answer a few questions for us to understand your business' needs
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We will advise which options could be suitable for your business
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We'll present any offers available for your business. You choose the one that best suits your business.
Invoice finance is a funding solution that allows businesses to release cash tied up in unpaid invoices. Instead of waiting 30, 60, or even 90 days for customers to settle accounts, businesses can access a percentage of the invoice value almost immediately, improving liquidity and smoothing cash flow.
Invoice finance takes several forms, including invoice factoring, invoice discounting, selective (spot) invoice finance, whole book invoice finance, confidential invoice finance (CIF), and CHOCS (Customer Handles Own Collections). Each option offers varying levels of lender involvement in collections, confidentiality, and flexibility depending on the business’s needs.
Provide goods or services to your customer and issue an invoice as usual.
Share the invoice details with your chosen invoice finance provider.
The provider will advance you a percentage of the invoice value, usually between 70% and 90%.
Your customer then pays the invoice either directly to the finance provider or to you, depending on the type of facility.
Once payment is received, the finance provider releases the remaining balance to you, minus their agreed fees or charges.
At Compare Invoice Finance, we make it easy to compare invoice finance options from leading UK lenders.
Whether you're looking for invoice discounting, invoice factoring, selective invoice finance, or any other type of invoice funding, our specialised partners, expert business finance brokers, help you find the best deal for your business, saving you time, money, and hassle.
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It improves working capital, enables faster reinvestment in operations, and reduces reliance on overdrafts or short-term loans. It can also help businesses grow by allowing them to take on larger contracts without worrying about long payment cycles. Unlike traditional borrowing, invoice finance is secured against receivables rather than physical assets.
Commonly used in industries with long payment terms, such as manufacturing, logistics, recruitment, and wholesale. For example, a recruitment agency can use invoice finance to pay temporary staff while waiting for client invoices to be paid.
Lenders typically advance 70–95% of invoice values, with fees deducted when the invoice is settled. Costs vary depending on the type of facility and whether the lender manages collections. Strong debtor quality and creditworthiness are crucial for eligibility.
Usually within 24–48 hours of invoice submission.
No, selective invoice finance allows you to choose specific invoices.
Yes, though minimum turnover thresholds may apply.
Not always, confidential options are available.
Only in factoring; discounting lets you retain control.
