Unlock cash from unpaid invoices, chasing included
Get most of the value of your unpaid invoices advanced up front, while a funding partner takes over collections and chases your customers for you. Compare options with a soft search that leaves no mark on your credit score, with a full check only if you choose to proceed with a specific funder.
Three parties, and nothing hidden between them.
You raise the invoice as you always have. It is assigned to a funding partner, who advances most of its value straight away and then takes over the collections: the statements, the reminders, the chasing. Your customer is told where to pay, settles with the partner, and the balance comes over to you less the agreed charges.
Being disclosed is not a footnote, it is the design. Your customers know a funder is involved, and in exchange you get a professional credit-control team working your sales ledger instead of your own people spending Friday afternoon on the phone. If that visibility is the part you cannot live with, discounting exists precisely for that reason.
COLLECTIONS INCLUDED, NOT SOLD SEPARATELYMost of it now. The rest when they pay.
A facility funds your sales ledger on a rolling basis, so as older invoices settle and new ones are raised the available funding refreshes itself rather than running out.
It moves with your trade
Facilities are sized to your turnover and the value of your ledger rather than set as a fixed loan, so the funding available grows as your invoiced sales grow.
Day to day it is quick
Setting the facility up takes longer than an unsecured loan, since the partner reviews your ledger and verifies invoices. After that, cash releases as you raise invoices rather than through a fresh application each time.
Capvant is not the funder
We do not lend, set advance rates or make the decision. That sits with the funding partner whose offer you choose, and is subject to their approval.
Service fees, discount charges and advance rates differ across every funding partner. One request lines them up together.
Five decisions sit inside every facility.
Two offers can look identical on the advance rate and be worlds apart underneath. These are the parts worth reading before you sign anything.
Recourse or non-recourse
With recourse you stay responsible if a customer ultimately fails to pay. Non-recourse shifts more of that bad-debt risk to the funding partner, usually at a higher cost. It is the single biggest fork in a factoring offer.
The whole ledger, or selected accounts
Some facilities fund everything you invoice under one agreement. Selective arrangements let you factor chosen customers or individual invoices, which suits a business that only needs help with part of the book.
Two charges, not one
A service fee covers running the facility and managing collections, and a discount or interest charge applies to the funds advanced while they are outstanding. Read them together rather than comparing a single headline rate.
The advance rate
A large share of each invoice is released up front, with the balance paid over once your customer settles. How large that share is depends on the partner and on the quality of your ledger.
Setup, minimum and exit fees
Some facilities carry a setup charge, a minimum monthly fee or a notice period. Two offers that look alike on the advance rate can separate entirely on these, so weigh the total cost of the arrangement.
- How creditworthy the customers who owe you are
- How your ledger is spread across those customers
- Your payment terms and how quickly customers settle
- Whether invoices are for completed, undisputed work
- Time trading, sector and overall business health
Because the facility is secured against your invoices, a concentrated ledger where one customer makes up most of your sales can be read as higher risk than a spread of many. Comparing offers starts with a soft search that leaves no mark on your credit profile, and a full credit check only happens if you choose to proceed with a specific funder.
Sometimes you want the money without the service.
Invoice factoring earns its keep when chasing payment is the part you want gone. When it is not, these fit better, and one request puts them on the same table anyway.
You want the arrangement kept private
Factoring is disclosed: your customers are told their invoices have been assigned. If that matters more than the admin you would save, confidential invoice discounting keeps collections and the customer relationship entirely with you. Compare invoice discounting.
You already run a strong credit-control function
If chasing is handled well in-house, you are paying a service fee for work you already do. The discounting route prices the money without the collections service on top. See the confidential route.
You take payment at the point of sale
There is nothing to factor if there is no invoice on credit terms. A card-takings advance reads a till rather than a ledger. Compare merchant cash advances.
The gap is broader than the ledger
If the pressure is payroll, stock and everything else at once rather than slow payers specifically, a general working-capital facility may cover more ground. Compare working capital.
If you would rather see the whole category first, invoice finance as a whole covers both routes, and the factoring against discounting guide sets the difference out end to end. Amounts through Capvant commonly run from £5,000 upwards, sized to your ledger rather than to a headline figure.
Pick the range you are after and see factoring and discounting offers side by side, with a soft search that leaves your credit score alone.
Frequently asked questions
What is invoice factoring?
Release most of the cash tied up in unpaid invoices and let a funding partner handle the chasing and credit control for you. Through Capvant you compare invoice factoring offers from multiple funding partners in one place, then choose what works for your business.
How much can I borrow?
Amounts depend on your trading history, turnover and the offers our partners make. Many businesses access £5,000 to £500,000 and beyond.
Will checking my options affect my credit score?
No. Seeing your options through Capvant is a soft search, so it leaves no mark on your credit file. A lender only runs a full credit check if you decide to accept an offer.
Is Capvant a lender?
No. Capvant is a funding marketplace, we match you with funding partners and you choose the offer that suits you. Funding decisions, rates and terms are set by the lender, subject to approval.
How fast can I get funded?
Once you accept an offer, many businesses receive funds within a few working days, some products fund same day.
Will my customers know I am using a facility?
Yes. Factoring is a disclosed arrangement: your customers are told their invoices have been assigned and are asked to pay the funding partner directly. If you would rather keep the arrangement private, invoice discounting is the confidential alternative, where you keep collections and your customers deal only with you.
Who chases my customers for payment?
The funding partner does. Their credit control team handles statements, reminders and chasing, which lifts that work off your own team. It is one of the main reasons businesses without a dedicated credit control function choose factoring over discounting.
What happens if a customer never pays?
That depends on whether the facility is recourse or non-recourse. Under a recourse arrangement you remain responsible for the invoice if your customer ultimately does not pay. Non-recourse shifts more of that bad-debt risk onto the funding partner, usually at a higher cost. Every structure and decision sits with the individual funder and is subject to their approval.
Get the cash, and get the chasing back.
One request puts your sales ledger in front of a panel of funding partners, and comparing what comes back costs nothing and leaves your credit score exactly where it is.
No obligation. Checking your offers won’t affect your credit score.
Disclaimers & footnotes
- 1Capvant is a funding marketplace, not a lender. We match business owners with third-party funding partners; we do not make credit decisions, lend money, or set rates or terms. All funding decisions, rates, terms and approvals are made solely by the lenders in our network, subject to their criteria.
- 2Checking your options through Capvant does not affect your credit score. A lender may carry out a soft or hard credit search depending on the product, stage and your consent. A full hard credit check is only carried out where required by a lender before you proceed.
- 3Funding speed, including any reference to funding in as little as 24 hours, is typical for some products and lenders and is not guaranteed. Actual timescales depend on the lender, the product, and how quickly requested information and documents are provided.
- 4Funding amounts and ranges are indicative only and vary with your business profile, trading history, the lender and the market. Figures shown are not an offer of finance and do not guarantee any particular amount, rate or approval.
- 5Any offers, rates or repayment figures shown in illustrations or examples are for demonstration only and are not real quotes. Your actual offers, if any, are provided by lenders and are subject to approval.
- 6Product availability varies by market. Some products are only available in certain countries. Capvant currently serves businesses in the United States and the United Kingdom.
Capvant is not a lender and does not make credit decisions, we introduce businesses to third-party funding providers. Capvant is not authorised or regulated by the Financial Conduct Authority (FCA).
Capvant does not compare every lender, broker, funding product or offer available in the market. We only show options from funding partners in our network that may be relevant based on the information you provide.
Capvant may receive compensation from lenders, brokers, funding partners or referral partners when a customer is introduced, approved, funded or takes another qualifying action. This compensation does not guarantee that any lender will approve an application or offer specific terms. Capvant does not charge business owners a fee to compare funding options unless clearly stated otherwise.
If you access Capvant through a partner, introducer or embedded funding page, that partner may receive a referral fee or commission if your request results in funding. This does not increase your cost unless expressly disclosed.
Capvant is intended for business-purpose funding only. Eligibility may depend on entity type, location, trading history, revenue, industry and lender criteria. In the UK, Capvant currently focuses on limited companies, LLPs and plcs, and does not currently support sole traders or ordinary partnerships.
Information on Capvant is general information only and is not financial, legal, tax or accounting advice. You should consider whether funding is suitable for your business and seek professional advice where appropriate.
Calculators, eligibility checkers and funding-readiness tools are estimates only. They are based on limited information and assumptions, and do not represent a credit decision, quote, approval or recommendation.
Company information may be sourced from public registers such as Companies House, or from information you provide. Public register data may be incomplete, delayed or inaccurate and should not be treated as a full credit assessment.
The Business Credit Score by Capvant is an independent statistical assessment based on public register data. It is not provided by a credit reference agency and may differ from scores used by individual lenders.
By submitting an application or funding request, you authorise Capvant to share relevant business, owner, request and document information with funding partners, service providers and introducers where necessary to process your request, subject to our Privacy Policy.
Some US commercial financing offers may be subject to state-specific disclosure requirements. Where required, additional disclosures will be provided and must be accepted before a transaction is finalised.