Raise eligible invoices
The business supplies goods or services and issues invoices that meet the provider's eligibility rules.
Invoice finance guide
Invoice finance
Invoice finance releases working capital against eligible business-to-business invoices before customers pay them. Depending on the facility, the business or provider may manage credit control, and customers may or may not be told about the arrangement.
Often considered for
- Reducing the cash-flow gap created by customer payment terms
- Funding growth, recruitment or larger orders
- Supporting seasonal or rapidly increasing sales
- Replacing or supplementing an overdraft
The structure
How invoice finance can work
The exact process, eligibility rules and legal structure vary by provider.
Access an advance
A proportion of eligible invoice value becomes available, subject to the agreed facility limit and reserves.
Customer payment
When the customer pays, the provider applies the facility charges and releases the remaining eligible balance.
Lender assessment
What a provider may consider
- Quality, spread and location of customers
- Debtor concentration and payment history
- Invoice disputes, credit notes and contractual set-off risks
- Credit-control and invoicing processes
- Historic dilution and the nature of goods or services supplied
Prepare the evidence
Information that may support the request
- Current aged debtor and creditor reports
- Sample invoices, contracts and proof of delivery
- Customer concentration and bad-debt history
- Management accounts and recent bank statements
- Details of existing charges or invoice-finance arrangements
Compare carefully
Points to understand before proceeding
- Confirm which invoices and customers are eligible and how concentration limits work.
- Compare service fees, discount charges, minimum fees and termination provisions.
- Understand who controls collections and whether the facility is disclosed to customers.
- Check recourse, bad-debt protection and how disputed or overdue invoices affect availability.
Build the funding case
Present the need, evidence and repayment plan together
Fundry helps businesses organise a structured request for potentially relevant lenders to assess.
This guide provides general information only and is not financial advice or a recommendation. Product structures, eligibility, costs and terms vary by provider and remain subject to assessment. Review any offer carefully and seek independent advice where appropriate.