What are the different types of selective invoice finance?
There are two main types of selective invoice finance, invoice factoring and invoice discounting. While the concepts are similar, there are some key differences to keep in mind.
Spot Invoice Financing (Factoring)
- Payment collection
- Customer contact
- Ledger & credit control
- One or more invoices
- Fees based on invoice
- One-off or occasional
Confidential Invoice Discounting
- Payment collection
- Customer contact
- Ledger & credit control
- One or more invoices
- Fees based on invoice
- One-off or occasional
Cash flow funding you can count on
Get a QuoteHelping you stay on top of your business' finances
Unlock your cash flow
Make sure you get paid on time, every time, and build strong connections with your suppliers and customers.
Grow your business
Unlock your working capital by freeing up funds tied to outstanding invoices so your business can grow without delay.
Stay ahead
Avoid costly interest charges and late payment fees so you can focus on what matters most – your business.
How selective invoice finance works
It’s quick and easy to set up; we buy your unpaid invoice for slightly less than the total, and you get paid in as little as two hours. We then own that invoice, so you don’t have to worry about chasing late payments.
Open an account
Sign up to create your free account in just a few minutes.
Choose an invoice
Submit your invoice and get an instant quote with our selective invoice finance calculator.
Get paid early
We’ll deposit the funds into your bank account in as little as two hours from approval!
Secure your funding today
Frequently asked questions
Selective invoice financing lets businesses choose specific invoices to fund against, unlocking working capital based on what your customers owe you. Also referred to as spot factoring or single invoice finance, this type of funding is a cost-effective solution for business owners who don't want to raise their entire sales ledger.
This helps companies maintain healthy cash flow and mitigate seasonal fluctuations and dips in working capital.
After advancing an invoice, a huge percentage of the invoice value gets released instantly, so there’s no need to wait for lengthy payment terms.
Penny offers selective invoice finance for sole traders and small businesses. Unlike other UK selective invoice finance providers, we buy 100% of your invoice for a small fixed fee.
Registering and submitting an invoice with us takes less than 10 minutes. You’ll receive funding within 24 hours for new users, and once you’re up and running, you can get the funds in as little as two hours.
You get working capital when you need it most, and we offer different options for repayment. It’s that simple.
Flexibility: Choose which invoices you want to finance.
Speed: Unlike traditional bank loans, with Penny you can get the funds in as little as two hours.
Improved cash flow: Access funds quickly to manage operating expenses.
Control: Maintain control over customer relationships and which invoices are financed.
No long-term commitment: Use our service as needed without long-term contracts.
No, one of the key benefits of selective invoice finance is the ability to choose which invoices to finance. This allows you to manage your cash flow according to your business’ needs.
At the moment, we offer selective invoice financing for HMRC-registered businesses in England, Scotland, and Wales.
We help both limited companies and sole traders boost their cashflow with UK selective invoice finance so they can achieve the growth they’re looking for.
Selective invoice finance can benefit businesses of all shapes and sizes who want to improve their cash flow. It’s particularly useful if your business:
Is experiencing seasonal fluctuations in sales
Is in a growth phase
Has contracts with lengthy payment terms
Faces unexpected costs
We support a variety of businesses operating across all industries with our selective invoice finance software.
This includes but is not limited to construction, haulage, and contracts with local authorities.
Unlike many providers, we don’t charge setup fees or monthly service fees. This means you only pay a percentage fee based on the value of your chosen invoice.
Traditional invoice factoring typically involves financing all invoices and often requires a long-term commitment and monthly fees.
Meanwhile, our selective invoice finance solutions let business owners choose individual invoices to finance, offering more flexibility and control.
We offer a confidential option where your customers won’t know that you’re financing their invoices. This is also known as confidential invoice discounting.
