— INVOICE FINANCE FOR UK BUSINESSES
Invoice finance for UK businesses.
Put unpaid invoices to work.
Explore invoice factoring and invoice discounting to help bridge the gap between raising an invoice and getting paid. Clear explanations, practical options and support with your enquiry.
Discuss your funding
A few details to get started. No obligation.
— A STRAIGHTFORWARD START
A straightforward way to explore invoice finance
Waiting for customers to pay can put pressure on wages, suppliers and your next order. We help you understand whether funding against eligible invoices could make that gap easier to manage.
Start with how your business works. We explain the options, the costs to compare and what a provider may need to assess.
A clear starting point
Understand what each option does and the questions to ask before you decide.
Built around your business
Your invoices, customers and payment terms shape the conversation.
— FUNDING OPTIONS
Two ways to put your invoices to work
The main difference is who manages credit control. Choose the approach that fits your team and your customers.
Invoice Factoring
Funding against your eligible invoices, with the finance provider also managing your sales ledger and collecting payment from your customers.
Who it may suit: Businesses that would welcome credit control and collections being handled for them.
- An agreed percentage of each eligible invoice is released once approved, under the facility terms.
- Credit control and collections are handled by the provider, which can free up your own team.
- You can usually see the funding position and the invoices being collected in one place.
Invoice Discounting
Funding against your eligible invoices while you keep control of your own sales ledger, credit control and customer relationships.
Who it may suit: Established businesses that already run their own credit control and want to keep it that way.
- Your customers continue to deal with your team. Confidential arrangements may be available, subject to provider terms.
- Funding is released against eligible invoices while your team retains responsibility for collecting payment.
- It suits businesses with established credit control processes, reliable reporting and regular invoicing.
At a glance
Both options release funding against eligible unpaid invoices. The practical difference is who collects payment from your customers.
| Invoice Factoring | Invoice Discounting | |
|---|---|---|
| Who collects payment from your customers | The finance provider manages the sales ledger and collects payment. | Your team continues to collect payment under the agreed facility arrangements. |
| What your customers see | Customers are usually asked to pay the provider, so the arrangement is visible to them. | Confidential facilities may be available. Customer notification and verification depend on the provider. |
| Credit control | Handled by the provider, including chasing and reconciliation. | Stays with your own team, using your established processes. |
| Often a good fit for | Businesses that want help managing collections. | Businesses with established credit control and reliable ledger reporting. |
— THE PRESSURES CUSTOMERS RECOGNISE
Sound familiar? These are the gaps invoice finance is built for.
A busy business can still face a cash-flow gap when payment for completed work has not arrived. These are some of the pressures invoice finance may help address.
Customers taking time to pay
Invoices agreed at 30, 60 or 90 days can tie up cash in work you have already completed. Invoice finance can release an agreed percentage of eligible invoices before customers settle them.
Payroll falling due first
Wages, PAYE and pension payments may fall due before your customers pay. Available funding against invoices already raised can help bridge that gap.
Supplier bills piling up
Materials, stock and subcontractors may need paying sooner than you receive customer payments. Funding against eligible invoices can help you manage those commitments.
New orders needing money upfront
New work can bring extra costs before cash arrives. Releasing funds from existing eligible invoices may help free up working capital; funding remains subject to the facility terms.
Put your unpaid invoices to work. Invoice finance releases funding against eligible invoices you have already raised, helping you access some of their value before your customers pay.
– SECTORS
Built around how your sector gets paid
From the factory floor to the freight yard – we understand how your industry gets paid.
— HOW IT WORKS
A clear path from enquiry to funding
STEP 01
Tell us about your business
Tell us who you invoice and how customers pay. There is nothing to prepare for the first conversation.
STEP 02
Compare your options
Understand the available options, their costs and how collections would work for your business.
STEP 03
Review the terms
The provider assesses your business. Review all charges and conditions before deciding to proceed.
STEP 04
Access your funding
Once approved and set up, draw funding against eligible invoices under your agreed facility terms.
— WHY CHOOSE POSITIVE FUNDING
An approach built
on clear answers
We would rather explain something properly than rush you into a decision. Here is what that means in practice.
Clear explanations
We describe how each option works, what it costs and what it means for your customers, before you decide whether it is worth pursuing.
Options shaped around the business
A recruitment agency paying weekly wages and a manufacturer buying materials upfront need different answers. We begin with your invoicing, not a product.
Transparent discussion of costs
We explain the charges that apply, including those that are easy to miss, so you can compare facilities fairly.
Support throughout the enquiry
From the first conversation through the checks and the decision, you deal with someone who explains what is happening and why.
— FREQUENTLY ASKED QUESTIONS
The questions business owners ask first
Invoice finance releases funding against eligible unpaid business invoices. The advance, charges and obligations depend on your facility and provider.
Factoring usually includes the provider managing collections. With discounting, your business normally keeps control of its sales ledger and customer payments.
Providers assess your trading position, customers, invoices and reporting. It is generally intended for businesses selling to other businesses on credit terms.
Factoring is generally disclosed to customers. Confidential discounting may be available, subject to the provider’s terms and verification requirements.
The provider considers eligible invoice values, customer quality, concentration, disputes, overdue balances and the agreed advance rate and facility limits.
Compare service charges, charges on funding used, minimum fees and any arrangement, additional-service or exit fees. Review the full agreement before committing.
An initial enquiry needs a few details about your business, turnover, invoices and payment terms. If you proceed, the provider may request accounts and sales-ledger information.
Still weighing it up?
Send a few details about your business and the invoices you raise. We will come back to you with a straightforward view of what may be available.
- Plain-English explanations
- Options shaped around your business
- No obligation to proceed
Prefer to read first? Our frequently asked questions cover more of what business owners ask.
— BLOGS
Read a little before you decide
PRACTICAL GUIDE
Understanding invoice finance costs
A clear breakdown of service fees, discount charges and what to check when comparing invoice finance illustrations.
PRACTICAL GUIDE
Factoring versus discounting
Comparing how invoice factoring and invoice discounting handle credit control, confidentiality and internal workload.
PRACTICAL GUIDE
Preparing for an invoice finance application
What information providers typically review and how to prepare your sales ledger for an initial assessment.