Spot Factoring UK

Spot factoring for selected unpaid invoices

Release cash from individual B2B invoices when you need targeted working capital without committing your entire sales ledger.

  • For UK Limited Companies and PLCs
  • Turnover from £1m to £250m
  • B2B businesses
  • All sectors considered
How it works

What is spot factoring?

Spot factoring allows a business to release cash from selected unpaid B2B invoices, rather than placing the whole sales ledger into a full invoice finance facility.

With spot factoring, your business can choose specific invoices to fund. A finance provider may advance a percentage of the invoice value before your customer pays, helping you access cash tied up in individual debtor balances.

This can be useful when a business has a one-off working capital need, a large invoice, a delayed customer payment or a short-term cashflow requirement.

Suitability depends on the invoice, debtor profile, customer terms, invoice value, sector and funder criteria.

Best suited to: B2B businesses that want to fund selected invoices for specific cashflow needs without committing their full sales ledger.

Key benefits

Why businesses use spot factoring

Spot factoring can be useful when your business wants targeted cashflow support against selected invoices.

Fund selected invoices

Choose specific invoices to fund rather than placing your full sales ledger into a wider facility.

Improve cashflow

Release cash from unpaid invoices when delayed payments are creating short-term working capital pressure.

Flexible support

Useful for businesses that need funding for a specific invoice, customer, contract or short-term requirement.

Reduce pressure

Support supplier payments, payroll, tax, stock purchases or other working capital needs linked to late payments.

Support opportunities

Use invoice funding to support a new order, contract or opportunity where cash is tied up in receivables.

Avoid full commitment

Explore funding without necessarily committing every invoice or customer to a full sales ledger facility.

Spot factoring may suit businesses that need:

  • Funding against one or more specific invoices
  • Support for a short-term cashflow requirement
  • Working capital linked to a large customer invoice
  • A flexible alternative to full ledger finance
  • Funding for a contract, order or growth opportunity

Who we help

Invoice Advance works with established UK B2B Limited Companies and PLCs looking to explore spot factoring and wider invoice finance options.

  • Growing and established companies
  • Businesses with unpaid B2B invoices
  • Companies needing targeted working capital
  • All B2B sectors considered
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Comparison

Spot factoring vs full invoice finance

Spot factoring can be useful for selected invoices, while full invoice finance may be better suited to ongoing working capital requirements.

Spot Factoring

Often suits businesses that want to fund selected invoices for a specific short-term cashflow requirement.

Invoice Finance

Often suits businesses that want ongoing funding availability across a wider sales ledger.

Choosing the right route

The right option depends on whether your funding need is one-off, selective or part of a broader working capital requirement.

Simple process

How spot factoring quotes work

The process starts with a simple enquiry and a review of the invoices you want to fund.

1

Initial enquiry

Share your business details and the invoice or invoices you would like to fund.

2

Invoice review

The invoice value, customer profile, payment terms and funding need are reviewed.

3

Indicative options

Where appropriate, suitable funders can provide indicative spot factoring options.

4

Next steps

If you want to proceed, funders may request invoice and debtor information.

No document upload required upfront. After an initial conversation, funders may request invoice details, customer information, aged debtor reports, latest accounts or recent management accounts.
FAQs

Spot factoring questions

Common questions from UK B2B businesses considering spot factoring.

What is spot factoring?

Spot factoring is a way to release cash from selected unpaid B2B invoices, rather than funding the entire sales ledger through a full invoice finance facility.

Is spot factoring the same as selective invoice finance?

The terms can overlap, but spot factoring usually refers to funding individual invoices or specific invoices. Selective invoice finance may involve a broader selective approach depending on the funder and facility structure.

Can spot factoring be used for one invoice?

In some cases, yes. Suitability depends on the invoice value, debtor profile, payment terms, business circumstances and funder criteria.

What type of businesses use spot factoring?

Spot factoring is often considered by B2B businesses that have a specific invoice, customer payment or short-term cashflow requirement to manage.

Do I need to move my whole sales ledger?

Not necessarily. One of the reasons businesses consider spot factoring is to explore funding against selected invoices rather than committing every invoice to a full facility.

Start your Quick Quote

Explore spot factoring options for selected invoices. It only takes a minute to start your enquiry.