Contact Us

What is Factoring?

Factoring is a way of raising cash quickly by selling your invoices to a factoring company, thus releasing working capital for the business from the funds tied up in invoices owed by your customers.

Factoring will release a percentage of the total funds of all the invoices to you so you have available funds to carry on with your business. You could typically release between 80-90%.


How does Factoring work?

The factor will assume credit management of your invoices and will then chase your customers for the invoice payments. When all is paid, the factoring company will release the rest of the funds, usually 10-20%, to you less any fees.

The factoring company makes profit by taking a small percentage of the total invoice fee.

Choosing factoring allows you to:

  • Get cash quickly
  • Provides on going working capital
  • Keep out of debt
  • Keep good credit
  • Pay staff
  • Purchase materials
  • Pay HMRC
  • Avoid having to chase payments
  • Continue with business without the worry of paperwork

At Select Factoring

We use a panel of the UK’s best Lenders who are specific to every industry, so if you work in manufacturing, construction or services we can direct you to a lender that specialises in your particular business activity.

Due to banks holding back on lending, Factoring is one of the remaining choices for companies to raise money quickly. Access to working capital is paramount for the success of any business, and by using factoring a business can maximise opportunities.

Choose Select Factoring if you want to use Factoring to raise funds from your invoices.

Contact us here.  We are ready to hear from you.

Helping your business grow

Contact Us
Contact Us

|T 07578561997