Capital Finance Group
Invoice Finance
Invoice finance allows you to release cash tied up in unpaid customer invoices. Rather than waiting 30, 60 or 90 days for payment, you can access a large proportion of the invoice value soon after raising it, helping you keep cash moving through the business.
Speak to a Business Finance SpecialistInvoice Finance
Facilities differ widely in how they are structured and charged. We look at your customer base, invoicing patterns and how much control you want to keep, then introduce you to providers whose approach suits the way you work.
Who it suits
- Business-to-business companies that offer credit terms to customers
- Growing firms whose cash flow is stretched by longer payment terms
- Businesses taking on larger contracts that need upfront working capital
- Sectors such as manufacturing, wholesale, recruitment, logistics and professional services
How it works
- A finance provider advances a percentage of approved invoices, often up to around 80% to 90%, with the balance released (less fees) once your customer pays
- Factoring: the provider manages your sales ledger and collects payments from customers
- Invoice discounting: you keep control of credit control and collections, and the arrangement can be confidential
- Selective or single-invoice options may be available if you do not want to fund your whole ledger
- The facility can grow in line with your sales
Things to consider
- Fees typically include a service charge and a discount charge, so the overall cost should be weighed against the benefit to cash flow
- The quality and spread of your customer base will affect the terms available
- Contracts may include minimum terms, notice periods and exit fees
- Personal guarantees or warranties from directors are often requested
- With factoring, your customers will usually be aware of the arrangement
Waiting too long to get paid? Speak to an expert about turning your invoices into working capital.
Finance is subject to status and lender criteria.
Interested in Invoice Finance?
Waiting too long to get paid? Speak to an expert about turning your invoices into working capital.
Speak to a Business Finance Specialist