As an independent Invoice Factoring Broker, we can help your business source a new factoring facility.
We will assist you with comparing available providers, guide you through the application process and provide ongoing independent support.
There are a large number of potential invoice factoring providers available in the UK. Some cater for specific sectors like Recruitment or Construction.
A wide range of circumstances can be catered for, from new start ups to established SMEs.
Written by Marcus Wright, owner and founder of Bolton Business Finance Ltd, in financial services since 2008 and a commercial finance broker since 2019. Last reviewed September 2026.
Independent Invoice Factoring Brokers
We make setting up a factoring facility simple and straight forward. By using a factoring broker like ourselves, we can search the market for you to find a suitable facility.
You will benefit from our experience and get to compare offers from different banks and lenders.
Also we will assist you every step of the way with negotiations, form filling, applications and everything involved.
Why use us
- Experienced Factoring Brokers
- £10k to £50 million
- Invoice Factoring Made Simple
- Negotiate Existing Factoring Agreements
- Apply For Factoring
- Zero Broker Fees On Factoring Applications
Call 0161 546 9128 or submit the form below to speak with an invoice factoring broker.
What Is Invoice Factoring?
Invoice Factoring is a type of invoice finance that is secured against your outstanding debtor book.
If you are owed money from your clients, you can release up to 100% of the outstanding value.
This only applies if you trade B2B and offer credit terms to your customers.
Factoring is suitable for:
- New Start Ups
- Fast Growing Businesses
- Construction Factoring
- Applications For Payments & Contractual Work
- Company Voluntary Arrangements (CVA)
- Past Insolvencies
- Bad Credit & CCJs
Which Sectors Can Factor Debt?
Any business sector that trades B2B and offers credit to their customers can potentially use factoring.
Different lenders may specialise in certain sectors, given the differences in trading between them.
Here are some of the most common industries that use it:
- Recruitment & Employment Agencies
- Construction & Builders
- Manufacturing
- Engineering
- Truckers & Trucking Companies
- Haulage, Freight & Logistics
- Couriers & Same Day Delivery
- Energy Brokers & Utility Consultants
- Wholesalers
Sector matters more than most people expect. It decides which funders will look at you at all, what advance rate you are offered and how the facility is priced. Transport and haulage are treated as lower risk and typically price below a general SME book, while construction and recruitment need specialist funders who understand applications for payment and timesheet funding respectively.
How Does Invoice Factoring Work?
An Invoice Finance company will agree to pay you a set percentage of your outstanding invoices.
| Debtor book | £100,000 |
| Payment percentage | 90% |
| Funding available | £90,000, draw down as required |
Any applicable fees and/or interest will be deducted from the available balance.
Once your customer pays the invoice, the balance is cleared with the lender.
With a factoring facility the lender usually assists with collections. In some cases this may be done confidentially.
Factoring With Recourse Or Without?
When taking out a finance facility, it may be on a recourse basis or without recourse.
This dictates who is responsible for unpaid invoices, the funder or you.
To read more about recourse, read the full article here.
How Much Does Invoice Factoring Cost?
The fees vary significantly between lenders and will be dependent on a large number of factors. Most facilities land between 1.5% and 3% of turnover a year once the service fee and discount fee are added together, with smaller businesses paying the higher end.
Apply below to find out the costs for your business, or read more about the costs of factoring in our in depth article, which includes worked examples and the charges that do not appear in a headline quote.
To price a facility against your own figures, our invoice finance calculator separates the service fee from the discount fee, applies the minimum monthly charge, and gives you the total annual cost as a share of turnover.
Invoice Factoring: Full Guide Index
Everything we have written on factoring, grouped by what you are trying to work out.
Understanding the product
Other types of invoice finance
By sector
Providers and reviews
Invoice Factoring FAQ
How quickly can a factoring facility be set up?
Typically one to three weeks from application to first drawdown, depending on the funder and how quickly paperwork comes back. Once the facility is live, funds against a new invoice are usually available within 24 hours.
Will my customers know I am using factoring?
Usually yes, because your customers pay the funder directly and the invoice carries an assignment notice. Some funders offer confidential factoring, and invoice discounting is confidential by design if that matters to you.
Can I get invoice factoring as a new start up?
Yes. Factoring is the most accessible of the invoice finance products, and some funders have no minimum trading period or turnover. The funder is lending against your customers’ ability to pay rather than your own track record.
Can I get factoring with bad credit, CCJs or a CVA?
Often yes. Adverse credit narrows the panel and affects pricing but does not automatically rule you out. We regularly place facilities for businesses in a CVA and for directors with past insolvencies.
Am I tied in, and can I leave?
Most factoring facilities carry a minimum term, commonly twelve months, with a notice period of one to three months. Ask for both figures in writing before signing, and what it costs to exit early. If you want no commitment at all, look at single invoice finance instead.
Can you improve my existing factoring facility?
Frequently. Renewal is a natural negotiating point, and pricing set when your turnover was much smaller is often out of date. We can negotiate with your existing funder or move you, whichever produces the better result.
Apply For Factoring Today
Get in touch to have a no obligation chat about what your options may be and the potential costs involved.
We do not charge any broker fees on factoring applications.
Four numbers and we can price it
Your turnover, your payment terms, roughly how many invoices you raise a month and your largest customer as a share of the ledger. That is enough for us to come back with realistic pricing across our panel rather than a headline rate that changes at offer stage.
Invoice Factoring Manchester
Our head office is based in Greater Manchester.
If you are looking for a reliable local point of contact, we offer a face to face service to businesses throughout Manchester and the North West of England.
We also assist businesses with factoring right across the UK.
About the author
Marcus Wright is the owner and founder of Bolton Business Finance Ltd. He has worked in financial services since 2008, beginning his career at Santander, and spent time on the lender side at an independent invoice finance provider before becoming a commercial finance broker in March 2019.
He founded Bolton Business Finance in 2020 to give businesses access to the whole lending market rather than one bank’s own product range. The firm is a member of the National Association of Commercial Finance Brokers and works with a panel of 135+ lenders.
Call 0161 546 9128.
Bolton Business Finance Ltd is an independent commercial finance brokerage, not a lender. We are not authorised by the Financial Conduct Authority and can only complete non-regulated introductions. All lending is for business purposes only. Figures on this page are illustrative, describe general market practice as at September 2026 and are not a quote. Advance rates, pricing and eligibility vary between lenders and every application is assessed on its own merits. Registered address: Westgate House, 1 Westgate Avenue, Bolton, Greater Manchester, BL1 4RF. Company number 12495909.