Single Invoice Finance

Single Invoice Finance (also known as Spot Factoring)

You have ordered and paid for goods from your supplier, delivered them on time to your customer and then it’s a waiting game. Some customers may pay promptly, but others take their time resulting in a cashflow gap for you.

It may just be a temporary blip, or you may even have agreed extended payment terms to win a new contract, but the fact remains – you are out of pocket.

It is possible that you have looked into invoice finance in the past, it may even have been recommended to you by your Bank Manager or Accountant, but if you only have a problem occasionally, then why pay for a whole-turnover facility?

Single Invoice Finance or Spot Factoring is an innovative way to access the cash which is tied up in your sales invoices, but as its name suggests it can be used for just a single invoice (minimum value £10k) or a single customer. Your customer needs to be credit-worthy (not too much to ask), but the funders will often provide bad debt protection as part of the package, thereby giving you peace of mind if your customer happens to go into administration or receivership while still owing you money.

You can draw down up to 85% of the invoice value for up to 120 days, but as with most financial products, the more you borrow and the longer it’s outstanding, the more you will pay. However compared to a whole-turnover facility it can save you a lot of money. There is no tie in and no minimum fee. You can use it when you want and as often as you want or just once and never again. You choose.

There are some variations within the Single Invoice Finance products currently available in today’s market. For example you may be able to carry out your own collections, or even have a confidential facility, so why not speak with us in the first instance to discuss your needs and we can then find you the most appropriate funder. Our number is 0845 180 1188 or complete the Contact us form.