Invoice Finance
For businesses that want to unlock cash tied up in outstanding invoices.
Unlock business cashflow with Invoice Finance
Don't yet have Invoice Finance?
Set up a call to speak with our team
Already an Invoice Finance customer?
Access your Invoice Finance Facility
*T&Cs and eligibility criteria apply. Subject to credit approval. Security may be required. The interest rates in this product are variable which means the rate can go up or down form time to time. Download our Invoice Finance Information (PDF) for more details. For detailed terms and conditions, see the document Terms and Conditions for Metro Bank Invoice Finance Customers (PDF).
Any property or asset used as security may be at risk if repayments are missed for any debt secured on it.
Charges may apply for any default on payments.
We may share account performance information with credit reference agencies.
What is Invoice Finance?
Invoice Finance, also known as receivables financing, is a revolving facility that allows a business to access cash from unpaid invoices. This can be useful if a large portion of your assets are tied up in receivables.
- Invoices can be uploaded manually or automatically via our Invoice Finance portal (E3).
- We'll create availability for you to draw down funds, up to 90% typically within 24hrs.
- With factoring we will perform credit control and chase your customers, with invoice discounting you will do this.
- Your customer sends payment directly to us, once received we’ll pay you the remaining balance, minus our fee.
Key features of our Invoice Finance Account
Free up your cash flow with our flexible Invoice Finance facility allowing you to put that money to use faster. Ideal for limited companies seeking cash flow for growth.
Improve cash flow quickly
Advance up to 90% against your outstanding invoices, typically within 24 hours.
Clear and fair pricing
All fees are agreed on day one with no hidden costs, based on the needs of your business.
Flexible contract times
Just give 28 days’ notice on when you’re looking to end your contact.
Benefits of Invoice Finance
Through Invoice Finance, our team can help business find flexible solutions to free up cashflow in the following ways:
- Flexibility –funding that grows with your sales
- Personal experience - with support from a dedicated Relationship Manager
- Cost saving - by paying suppliers early you could secure discounts
- Save time - Credit Control support from a UK-based specialist team
Our Invoice Finance services
Factoring
Suits smaller businesses in the early stages of growth. Frees up management time, removing the burden of managing a sales ledger by passing this over to our dedicated and specialist Credit Control team.
Invoice discounting
Better for larger businesses with established credit control systems and processes. This facility has the same immediate cash flow benefit as factoring, but you maintain control over your sales ledger administration. It’s confidential, which means that your customers won’t be aware of Metro Bank's involvement.
Bad debt protection
Available as an additional service with factoring, invoice discounting, and asset-based lending, bad debt protection is designed to provide cover where your customer enters insolvency or fails to pay*. It can offer additional reassurance when trading with new or unknown customers, increasing credit to existing customers, or trading overseas.
*Subject to terms and conditions
Asset Based Lending
With Asset Based Lending (ABL) you can borrow against the value of existing assets, including debtors, stock, plant & machinery, and property. We can also provide additional cashflow loans, particularly in transactions, such as MBO, MBI and Acquisitions.
Invoice Finance will always feature in an ABL facility but ABL gives additional access to funding.
“Aside from our £3 million funding facility, we have received exceptional service from the sales team and our Relationship Manager”
Alex Thomkins
4Recruitment Services Ltd
Do you work in these industries?
Recruitment
Delayed payments from customers can impact your recruitment business's ability to pay temporary staff and contractors. Invoice Finance with Metro Bank could help in the following ways:
- Advance 90% of an invoice within 24 hours, helping to unlock your cashflow.
- Use our market leading platform to extract information straight from your accounts system, so that you can focus on selling.
- Work with us for a bespoke solution on funding permanent placements*.
- Depending on your end-customer, we can also consider funding Managed Service Providers (MSPs) or Recruitment Process Outsourcing (RPOs).
- Outsource management of your sales ledger and credit control to our team of experts, allowing you to focus on running your business
Our Invoice Finance solutions could facilitate your growth by giving you quick access to funds that enable you to confidently take on more contracts.
*Subject to historic data
Wholesale
Many wholesalers face cash flow issues due to bulk purchases, holding stock, and often extended payment terms. Our Invoice Finance facility can help wholesalers find flexible ways to unlock cashflow in the following ways:
- To help with fluctuating demand, we can review facilities seasonally or periodically to fit your needs.
- With tight margins, knowing fees upfront can be a lifeline. Take advantage of our clear and transparent fees.
- Use our Bad Debt Protection service to help assess your customer base and cover your business against non-payment or bad debt*.
- If your business has an ERP (Enterprise Resource Planning) linked to major accounting software like Xero or Sage, you can link to our portal Invoice Finance (E3) for a fully automated system.
- No lengthy agreements. End your contract with only 28 days’ notice.
What do you need to know about our Invoice Finance facility?
What does it cost?
- A charge is payable on the amount of money advanced on a daily basis. This is called a discount fee.
- There is also a service fee which is a percentage of each invoice you raise and will vary depending on turnover. You’ll agree these rates upfront with our Invoice Finance team.
If any other fees apply like arrangement fees or disbursement fees, we’ll agree those upfront with you as well. For more information please refer to Invoice Finance IIS document.
Documents we need to open your finance facility
Contact our Invoice Finance team and we can support you with what what’s needed.
The documents required can vary, but can include basic info about your business to your sales ledger and the service you provide.
Set up a call with our team for further details
Frequently asked questions
How long does it take to put Invoice Finance in place?
It can take as little as 2 weeks to set up, but on average it works out at around 3-6 weeks. Your Business Development Director will help advise you on likely timescales.
What happens if an invoice is not paid?
If an invoice is not paid within the agreed period (typically 90-120 days) then you would repay us directly. Alternatively, you can apply for Bad Debt Protection which provides protection against insolvency and protracted default (non-payment).
How is the service charge applied to my invoices?
The service charge is applied to all of your notified invoices.
What do I need to apply for Invoice Finance?
Just contact us and we’ll talk you through everything.