What is Invoice Finance?

Invoice finance is a working capital solution that releases funds tied up in unpaid customer invoices. Instead of waiting 30, 60 or 90+ days for payment, a lender or broker will advance a percentage of the invoice value (typically 70–90%) so you can use the cash immediately to pay suppliers, staff or invest in growth.

Invoice finance differs from a traditional business loan because the facility is secured against your sales ledger rather than relying solely on company or director guarantees. It can be arranged as a flexible ongoing facility or as selective financing for individual invoices.

Fast Business Loans does not lend money. We act as a free introducer and will match your company with brokers and lenders that specialise in invoice finance. Submitting an enquiry is not a loan application — it’s a way to get matched to the right providers quickly. Free Eligibility Check

Types: Invoice Factoring vs Invoice Discounting (and other options)

Invoice Factoring

Invoice factoring means the funder typically takes responsibility for collecting payments from your customers. It is useful if you want immediate cash and prefer a hands-off collections solution.

Invoice Discounting

With invoice discounting you retain control of your sales ledger and customer relationships; the funder provides cash against invoices but collections remain with you. This option tends to be confidential (customers may not know you use it).

Spot Finance vs Whole Ledger / Selective

Spot or selective finance lets you release cash on one-off or project invoices. Whole-ledger facilities provide funding across your entire sales ledger and suit businesses seeking an ongoing working capital line.

Not sure which is better for your situation? We’ll match you to lenders/brokers who specialise in the right structure for your industry. Get Quote Now

How Fast Business Loans Helps You Secure Invoice Finance

Our role is simple: we introduce you to lenders and brokers who can provide invoice finance that suits your company. The process is quick and transparent:

1. Complete a short, no-obligation enquiry (takes around 2 minutes).
2. We match your need to lenders/brokers in our network who specialise in your sector and funding size.
3. A broker or lender contacts you to discuss terms and carry out due diligence if you choose to proceed.
4. You select the offer that fits your business. There’s no obligation to accept any quote.

Every enquiry is treated confidentially — and completing our enquiry does not commit you to a credit check or an application. Start Your Enquiry — Free Eligibility Check

Benefits of Invoice Finance for UK Businesses

• Improved cash flow: Access working capital quickly so you’re not waiting on slow-paying customers.
• Flexible funding: Scale the facility to match seasonal peaks or growth.
• Support growth: Use funds to hire staff, buy stock or invest in new contracts.
• Credit management: Factoring can reduce the burden of collections and credit control.
• Preserve facilities: Invoice finance can be an alternative to overdrafts or expensive short-term loans.

Example (indicative): A manufacturer with £150k in outstanding invoices receives an 85% advance on selected invoices, unlocking c.£127,500 immediately to cover materials and payroll while the remainder is paid (less fees) when customers settle.

To compare options quickly, Check Your Eligibility in Minutes.

Is Invoice Finance Right for Your Business?

Invoice finance typically suits limited companies that:

• Sell B2B with clear, verifiable invoices;
• Have longer payment terms (30–120 days or more);
• Need cash quickly to fulfil orders or manage seasonal cycles;
• Are experiencing rapid growth and need working capital without diluting ownership.

Self-assessment checklist:

• Do most of your sales go to other businesses (not consumers)?
• Are your invoices to established companies with reasonable credit profiles?
• Do you need funding from around £10,000 and upwards?

If you answered yes to these, submit a free 2‑minute enquiry and we’ll match you to specialist providers.

Invoice Finance Eligibility Factors & Typical Costs

Key eligibility factors

• Minimum turnover and trading history (varies by lender).
• Quality and age of invoices and debtor profiles.
• Concentration risk — whether too much revenue is from a single customer.
• Existing security or finance arrangements.

Typical fees you may see

• Advance rate: % of invoice paid upfront (70–90% common).
• Discount/finance fee: charged on the drawn amount (often quoted as a % per annum or per month).
• Service fee: monthly admin or facility fees.
• Bad debt protection: optional cover (adds cost).

Fees vary by deal, sector risk and the chosen structure. Our matched brokers/lenders will provide transparent cost breakdowns so you can compare options. We do not give financial advice — you remain in control of choosing an offer.

How to Apply Through Fast Business Loans

Preparing information beforehand speeds things up. Typical details lenders/brokers request include:

• Company name, registration number and contact details;
• Recent turnover and VAT returns (if applicable);
• Typical invoice values and debtor list;
• Copies of outstanding invoices you want funded;
• Details of any current borrowing or security.

Submitting our enquiry is not a credit application and has no immediate impact on your credit file. After you submit, one of our matched partners will usually contact you by phone or email to discuss next steps. To begin, Submit Your Invoice Finance Enquiry.

Invoice Finance Alternatives to Consider

Invoice finance is not always the best fit. Alternatives include:

• Business loans: unsecured or secured term loans for growth or capex;
• Revolving credit facilities: flexible overdraft-style lines;
• Asset finance: funding against machinery, vehicles or equipment;
• Trade finance or supply chain finance: options to optimise supplier payments.

Fast Business Loans can help you compare these and find a match tailored to your needs. Compare Finance Options — Free Matching Service

FAQs About Invoice Finance & Our Service

How quickly can I release funds from invoices?

Many lenders can advance funds within 24–72 hours of approving the invoice, though initial set-up for a new facility may take longer (often a few days to a few weeks depending on checks).

Will my customers know I’m using invoice finance?

It depends on the product. Factoring is often disclosed because the funder collects payments. Invoice discounting can be confidential so your customers are unaware.

What’s the minimum or maximum facility size?

Fast Business Loans typically helps businesses seeking funding from around £10,000 upwards. Maximums depend on lender appetite and business size.

Does submitting an enquiry affect my credit score?

No — completing our enquiry form is not a credit application and does not affect your credit score. Some lenders may perform checks later if you progress with an application.

Can I use invoice finance alongside other borrowing?

Yes, many businesses use invoice finance alongside other facilities. Existing borrowing and security will be considered by lenders during assessment.

What happens after I submit my enquiry?

We match your details to suitable lenders/brokers in our panel. You’ll receive contact from those partners to discuss options and any next steps. There’s no obligation to proceed.

If you’re ready to explore options, Ready to Explore Invoice Finance? Get Started Now.

Why UK Businesses Use Fast Business Loans

Fast Business Loans makes finding the right invoice finance partner quicker and simpler. Key advantages:

• Fast matching to specialist brokers and lenders;
• Free and no obligation — you only proceed if you want to;
• Sector-focused partners who understand niche business models;
• Confidential handling of enquiries and data protection;
• Support for deals from roughly £10k upwards.

For a comprehensive overview of invoice finance options and to see if it fits your business model, read our detailed guide to invoice finance or get a free eligibility check.

Get Started Today

Unlock cash tied up in invoices without lengthy searching. Complete our short enquiry form and we’ll rapidly match you to lenders and brokers who can provide quotes and guidance specific to your business.

Get Quote Now — Connect with Invoice Finance Specialists

Fast Business Loans is an introducer that connects businesses with lenders and brokers. We do not provide lending or regulated financial advice. Enquiries are free and without obligation.