Invoice Finance Calculator

Invoice finance lets you access cash tied up in unpaid invoices immediately. You sell your invoice to a finance provider who advances you 70-95% of the value upfront. When your customer pays, you receive the remainder minus fees.

Single invoice finance (or selective invoice finance) lets you choose which invoices to fund on a case-by-case basis. A facility provides an ongoing arrangement where you can fund multiple invoices each month, often with better rates due to the committed volume.

There are typically two fees: a service fee (0.5-3% of invoice value) which covers administration, and a discount fee (1-5% per month) which is interest on the advanced amount for the time until your customer pays.

Once set up with a facility, funds from individual invoices are typically released within 24 hours of submission. Initial facility setup may take 2-5 business days for verification.

With factoring, the finance provider takes over credit control and collects payment from your customers. With discounting, you maintain customer relationships and collect payments yourself. Discounting is confidential - customers don't know you're using it.

Yes, invoice finance works well for tradesmen doing commercial and contract work where payment terms are 30-90 days. It's particularly useful for managing cash flow when you have multiple large contracts.