geo-tag

Invoice Finance

Solutions

Boost cashflow by getting paid faster for your completed work

Any successful business can hit cash flow problems. If you need an immediate injection of cash, and you regularly invoice businesses which take a while to pay, then invoice financing can help you release funds tied up in those unpaid invoices.

Invoice financing can be incredibly flexible and there are two main options.

Invoice discounting

Simply releases the cash from your unpaid invoices. This can be ideal for lower volumes of invoices or where you have plenty of resource to manage your sales ledger. For added comfort, most funders will offer protection against bad debts.

Boost cashflow by releasing funds tied up in unpaid invoices.

Release up to 100% of approved invoices

Acts as a working capital facility

Sales admin support

 

Solutions include:

Factoring

Invoice discounting (including confidential options)

Construction finance

 

 

Loading...

Find out if we can help your business with Invoice Finance

Get in Touch

FAQs

Q: What is invoice finance?

A: Put simply, Invoice Finance is the sale of a business’s unpaid invoices to an Invoice Financier for a payment equivalent of up to 100% of the value of invoices. This enables the business to get instant access to the cash they’ve earned, when normally they have to wait 30, 60 or even 90 days for debtors to settle invoices and so for the money to appear in their bank account.

Q: How quickly can an invoice finance facility be arranged?

A: Invoice finance facilities can be arranged in as little as a few days. Most applications are usually completed in a time frame between 10 days and two weeks, with transfers from other providers usually taking slightly longer. If you need your facility to complete very quickly, just let us know and we’ll ensure that your application completes within your required timescales.

Q: How Much Money Can I raise using invoice finance?

A: It’s possible to release up to 100% of your outstanding invoices, although this is exceptional. It is more realistic to expect an advance rate of 80-90%. This means that with an outstanding sales ledger of £100,000 you could expect to release around £80,000 – £90,000..

Q: Will I need to provide a personal guarantee?

A: The quick answer is yes, most invoice finance funders require a personal guarantee from a director, however we have a proven track record negotiating with funders to minimise this requirement, and in some cases remove the requirement altogether.

Q: What is the difference between Invoice Discounting and Invoice Factoring?

A: While Invoice Factoring and Invoice Discounting might seem the same, there actually is a big difference. With Invoice Factoring the responsibility for collecting payments and sales ledger management will be undertaken by the funding provider. With Invoice Discounting the responsibility for collecting payments and managing the sales ledger remains with you and your team.

Q: Is invoice finance suitable for funding against uncertified and certified Applications for Payment?

A: Yes, although it requires a specialist touch. We work with a number of funders who can provide a product known as Construction Finance which provides your business with instant funding against uncertified and certified Applications for Payment and invoices raised at completion. Our funders help you to meet your payment obligations throughout the various stages of a contract so you can and take on more work knowing you have reliable funding in place.

Q: How do I know if I am eligible for an Invoice Finance facility?

A: As a general rule, If you are a business that provides a service or product on credit and raises invoices, you may be eligible for Invoice Finance. Contact us directly to discuss your individual business needs.

Still got a question?

Let’s chat it over. We’d love to hear from you. Just give us a call or email us.

Get in touch

Case Studies

View all case studies

Swift Financial Solutions for Care Home Expansion

A Southport-based care home faced urgent funding needs for a property extension and a new minibus. Breadalbane delivered rapid, tailored financial solutions, enabling timely project commencement and enhanced resident services.
View

Strategic Financial Solution for Haulage Company

See how Breadalbane Finance navigated the challenge of securing finance for a new haulage client, without a financial history, ultimately resulting in the purchase of their first vehicle and significantly reducing their operational costs.
View

Catalysing Acquisition Success: A Tailored Financial Solution

Explore how Breadalbane swiftly facilitated an engineering business acquisition with tailored financing. Our strategic approach ensured a seamless two-week approval and payout, showcasing our expertise in delivering optimal financial solutions.
View