Invoice discounting guides
A focused library covering the funding structure, fees, risks and practical work of running a facility.
Essentials
What is invoice discounting?
Invoice discounting explained for UK businesses: what it means, who collects payments and how the facility releases working capital.
Read the guide EssentialsHow does invoice discounting work?
Follow the UK invoice discounting process from application and ledger approval to drawing funds, collecting payment and reconciliation.
Read the guide EssentialsWhat is an invoice discounting facility?
Understand facility limits, eligible debt, reserves, concentration caps and the difference between an advertised advance and available cash.
Read the guide EssentialsInvoice discounting eligibility and requirements
Assess the business, debtor book, collections process and documents UK invoice finance providers may review.
Read the guide EssentialsInvoice discounting application checklist
Prepare an aged debtor report, financial information, cash forecast and contract questions before requesting an invoice discounting proposal.
Read the guide EssentialsInvoice finance: types, costs and how it works
Understand invoice finance, invoice discounting, factoring, selective funding and CHOCCS. Compare collections, confidentiality and funding scope.
Read the guideFinance types
Confidential invoice discounting
How confidential invoice discounting works, what customers may see and the questions to ask about collections and disclosure.
Read the guide Finance typesDisclosed invoice discounting
Understand disclosed discounting, customer notices and why disclosure is a different question from who manages credit control.
Read the guide Finance typesSelective invoice finance and single invoice discounting
Selective invoice finance explained: selected customer accounts, single invoices, spot factoring and selective discounting, with costs and contract checks.
Read the guide Finance typesInvoice discounting for small businesses
Explore suitability for smaller UK businesses, minimum fees, bookkeeping capacity, selective finance and alternatives.
Read the guide Finance typesExport invoice discounting
Review overseas customer eligibility, currency, documentation, collection processes and credit protection for export receivables.
Read the guide Finance typesInvoice factoring: funding and credit control explained
How invoice factoring works, who collects customer payments, the costs to compare and how it differs from discounting and CHOCCS.
Read the guide Finance typesCHOCCS: Client Handles Own Credit Control service
CHOCCS stands for Client Handles Own Credit Control service. Understand how it works, customer disclosure, costs and responsibility for collections.
Read the guideComparisons
Invoice discounting vs factoring
Compare invoice discounting and invoice factoring: collections, confidentiality, costs, control and which structure may suit your business.
Read the guide ComparisonsInvoice discounting vs business loans and overdrafts
Compare funding linked to receivables with loans and overdrafts, including repayment schedules, available funding and the purpose of borrowing.
Read the guideCosts & risks
Invoice discounting costs, fees and rates
Understand discount charges, service fees, minimum charges and exit costs. Compare UK invoice discounting quotations on a consistent basis.
Read the guide Costs & risksInvoice discounting advantages and disadvantages
Balance earlier access to cash and retained customer control against fees, recourse, reporting and changing funding availability.
Read the guide Costs & risksInvoice discounting risks and safeguards
Understand recourse, debtor concentration, disputes, funding reductions, guarantees and operational risks before signing a facility.
Read the guide Costs & risksRecourse, non-recourse and bad-debt protection
Separate funding from credit protection and understand customer limits, disputed invoices, exclusions and claim conditions.
Read the guide Costs & risksInvoice discounting personal guarantees and security
Questions to ask about guarantees, indemnities, debentures and overlapping security before taking an invoice discounting facility.
Read the guide Costs & risksSwitching invoice discounting providers
Plan the notice period, settlement, security releases and transition of your invoice discounting facility.
Read the guidePractical guides
Invoice discounting accounting: what to check
Questions for your accountant about receivables, funded balances, fees, reconciliation and derecognition under the applicable reporting framework.
Read the guide Practical guidesInvoice finance regulation, standards and complaints
Understand the distinction between lender regulation and invoice finance product protections, and where to check standards and complaint routes.
Read the guide Practical guidesInvoice discounting glossary
Plain-English definitions of the key invoice finance terms, from advance rate and borrowing base to recourse, reserves and dilution.
Read the guideBy sector
Invoice discounting for recruitment agencies
Match recruitment payroll to customer collections, with guidance on approved timesheets, debtor limits and credit-control requirements.
Read the guide By sectorInvoice discounting for manufacturing businesses
Understand the gap between buying materials, producing goods, invoicing customers and drawing against eligible receivables.
Read the guide By sectorInvoice discounting for transport and haulage
Consider fuel, wages, proof of delivery and customer payment terms when evaluating invoice finance for a haulage business.
Read the guide By sectorInvoice discounting for construction businesses
Distinguish invoices from applications for payment, retentions and staged contracts before choosing a construction finance facility.
Read the guideProvider profiles
HSBC UK invoice discounting: product profile
A source-based HSBC UK invoice finance profile, with published features, limitations and questions to ask before requesting a quotation.
Read the guide Provider profilesLloyds Bank invoice discounting: product profile
A source-based Lloyds Bank invoice finance profile, with published features, limitations and questions to ask before requesting a quotation.
Read the guide Provider profilesNatWest invoice discounting: product profile
A source-based NatWest invoice finance profile, with published features, limitations and questions to ask before requesting a quotation.
Read the guide Provider profilesBibby Financial Services invoice discounting: product profile
A source-based Bibby Financial Services invoice finance profile, with published features, limitations and questions to ask before requesting a quotation.
Read the guideReady to explore invoice discounting?
Estimate the funding your invoices could support, prepare your business information and discuss the options available.
Funding enquiries are handled through our Business Loan Options service.
