Invoice finance is when a lender utilises an unpaid invoice as security for funding, giving you immediate access to a percentage of the invoice’s value.

Many lenders will provide funding against your whole sales ledger, but this is usually referred to as flexible invoice discounting instead.

Invoice finance releases capital tied up in invoices, enhancing your cash flow and enabling you to pay staff and suppliers and reinvest in operations and growth earlier.

Selective invoice finance gives you the flexibility to fund individual invoices. Simply select the invoices you want to fund and decide when the funds are released, putting you in control of your cash flow for a low service fee.

Selective invoice finance is sometimes referred to as spot factoring, spot invoice finance or single invoice factoring, in reference to the flexibility of the facility.

In certain markets, these terms are associated with slightly different products, where spot factoring or single invoice factoring refer to the funding of specific individual invoices.

Our selective invoice finance product gives you the flexibility to fund whatever proportion of invoices you choose, freeing up working capital and retaining control of your cash flow.

After you have completed our straightforward online onboarding process, we aim to respond with an indicative offer within 24 hours.

One of our lending experts will work with you to understand your cash flow requirements and get you onboarded in no time.

With selective invoice finance, Growth Lending does not impose a minimum contract period or minimum income criteria and we do not restrict funding based on concentration, making our product more accessible than many similar options on the market.

The flexibility of selective invoice finance also means that you can often access a greater advance rate than is offered by alternative lending products, as you select the individual invoices or debtors to be financed.

It also gives you more control over your cash flow, as you can leverage individual invoices, or groups of invoices, depending on your working capital requirements.

Traditionally, invoice factoring requires a business to sell its whole sales ledger to a third-party factoring company. This firm takes on the debt in its entirety, freeing up working capital for the business. With factoring, the lender usually becomes responsible for chasing debtors and recovering payments.

Invoice finance on the other hand, does not require the sale of a whole ledger, with payments advanced by the lender on an invoice-by-invoice basis. Working this way also means that you retain responsibility for debtor payments, keeping closer control of your cash flow.

You must be a company registered in the UK, US, Singapore or a Benelux country, with B2B debtors on payment terms of up to 120 days.

Your debtors must be registered in an OECD country, with some exceptions (Chile, Columbia, Costa Rica, Estonia, Latvia, Lithuania, Mexico, Serbia, Slovakia and Turkey).

With selective invoice finance, you retain complete control of your cash flow and are therefore responsible for recovering outstanding payments.

We can fund alongside other lenders, funding the overseas invoices while they retain the UK invoice finance. However, your existing lender may have to consent to the facility.

We can also offer standalone facilities overseas, with no requirement to fund a linked UK entity, so can work flexibly to meet your needs.

Growth Lending is in the US too! Use the button in the top right corner of our website to visit our US page, or use this link to contact a member of our US lending team.

Any invoice we fund must be fully unencumbered. We regularly take security but are happy to rank behind other charge-holders or lenders, as long as we have priority over the receivables we are funding.