Question 1

What is Invoice Finance?

Accepted Answer

Invoice Finance is a way for businesses to unlock funds tied up in unpaid customer invoices.

Instead of waiting 30, 60 or even 90 days to be paid, you receive up to 95% of the invoice value within 24 hours of raising them. It turns your outstanding invoices into immediate working capital - without taking on the additional debt you would incur from a bank loan.

Invoice Finance bridges the gap between raising invoices and being paid, smoothing cashflow challenges and providing funding for growth. For many SMEs, it’s a way to fund growth without relying on historic borrowing track records.

Visit our Invoice Finance page for more information.

Question 2

How does Invoice Finance work?

Accepted Answer

The process is straightforward:

1. You deliver goods or services to your customer.

2. You raise an invoice as normal and send a copy to your funder. At BFS, invoice details are easily shared through our secure online portal.

3. You access your funds. With BFS, you can access up to 95% of the invoice value within 24 hours.

4. When your customer pays the invoice, you receive the remaining balance minus agreed fees.

Question 3

What are the main types of Invoice Finance?

Accepted Answer

There are two main types of Invoice Finance:

Invoice Factoring – Our dedicated credit control team collect outstanding invoices on your behalf, freeing up valuable time to concentrate on running your business.
Invoice Discounting – You maintain responsibility for collecting outstanding invoices and the management of your customer relationships.

Question 4

Is Invoice Finance right for my business?

Accepted Answer

Invoice Finance can provide flexible funding that smooths cashflow and grows in line with your sales, without taking on the additional debt you would with a traditional bank loan.

Invoice Finance is a strong fit if:

You trade primarily business-to-business (B2B)
You offer credit terms to customers
You need support with cashflow fluctuations
You are growing quickly and need working capital
You struggle to secure traditional bank lending due to limited credit history.

It may be less suitable if:

You sell mainly to consumers
Your invoices are very small and low volume
Your margins are extremely tight

Question 5

How does Invoice Finance work if I have customers overseas?

Accepted Answer

Depending on how much you trade overseas, our specialist Export Finance solution could be more suitable. Designed specifically for exporters, it can bridge the gap between raising an invoice and getting paid and help you better manage relationships with overseas customers.

Our Foreign Exchange services can also help you trade more effectively and reduce exposure to currency fluctuations.

Question 6

Can I use Invoice Finance if I am paid in stages?

Accepted Answer

We have specialist finance solutions to support businesses that work on a contractual basis.

This type of financing works well for industries like construction where contracts are often long and invoiced in stages.

Our Construction Finance solution allows you to access your funds within 24 hours of submitting an invoice or raising an application for payment, whether its certified or uncertified.

Question 7

What if my customers do not pay?

Accepted Answer

Many businesses that use Invoice Finance also choose Bad Debt Protection to make sure that they still receive payment if their customers can’t settle their invoices.

Question 8

How do I apply for Invoice Finance?

Accepted Answer

The first step is simply a conversation. Complete the short contact form and a member of our team will call you back, or call us directly on 0808 149 7966.

Once we have completed an initial suitability assessment you will be allocated a dedicated Business Development Manager who will support you through the application process.

We’ll take the time to understand your business, your growth plans and your current challenges. From there, we can explore whether Invoice Finance is the right fit and outline your options clearly - with no obligation.

You will typically need to provide basic business information, an aged receivables report, details of your main customers and recent financial accounts (if available).

Our relationship focussed approach means that if Invoice Finance is right for your business we will get to know your individual needs and tailor the facility to support your goals. Our independence and flexibility mean we will often fund when others won’t.

Question 9

How long does it take to set up Invoice Finance?

Accepted Answer

Approval can often be obtained within a few days.

Full setup usually takes one to two weeks, depending on complexity. You will have a dedicated Business Development Manager to support you through each step of the onboarding process.

Once live, funding against new invoices is typically available within 24 hours of raising them.

Your ambition. Our funding.

Get funding started

BFS will partner with you to help you achieve your business goals

Client stories

FORT Builders' Merchant

Castell Group Ltd

Our funding solutions

What is Invoice Finance?

What our clients say...

Frequently asked questions

For a smart way to support growth, talk to us about funding

Your ambition. Our funding.

Get funding started

BFS will partner with you to help you achieve your business goals

Client stories

FORT Builders' Merchant

Castell Group Ltd

Why choose Bibby Financial Services?

Flexible

Trusted

Relationship focus

Our funding solutions

What is Invoice Finance?

What our clients say...

Frequently asked questions

What is Invoice Finance?

How does Invoice Finance work?

What are the main types of Invoice Finance?

Is Invoice Finance right for my business?

How does Invoice Finance work if I have customers overseas?

Can I use Invoice Finance if I am paid in stages?

What if my customers do not pay?

How do I apply for Invoice Finance?

How long does it take to set up Invoice Finance?

For a smart way to support growth, talk to us about funding