Free business finance tool

Invoice Finance Calculator

Estimate the working capital potentially released from eligible B2B invoices and model the two common cost components: service fee and discount charge.

Your assumptions

Use the slider or enter an exact value.

£1,200,000
£
£0£100,000,000
£100,000
£
£1,000£10,000,000
60 days
1 days180 days
£200,000
£
£1,000£25,000,000
85%
50%100%
0.5%
0%10%
8%
0%30%
70%
0%100%
Indicative results
Estimated cash released
£170,000
Initial advance
£170,000
Reserve balance
£30,000
Monthly service fee
£500
Monthly discount charge
£793
Estimated annual cost
£15,520
Potential cashflow improvement
£170,000
Effective debtor-day reduction
51 days
Explore Invoice Finance

These results are estimates and do not constitute an offer of finance. Actual rates, fees, terms and eligibility will depend on the applicant, lender assessment, security and full underwriting.

How This Estimate Is Calculated
The initial advance is the eligible invoice balance multiplied by the advance percentage.
The reserve is the part of eligible invoices not initially advanced.
The monthly service fee is estimated from monthly invoiced sales.
The discount charge is estimated on the average utilised advance at the annual discount rate.

See What Funding May Be Available

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Frequently asked questions

Why are there two charges?

Many facilities have a service fee for administration and a discount charge similar to interest on funds in use. Other fees can also apply.

Are all invoices eligible?

No. Concentration, age, disputes, contractual terms, debtor location and credit quality can affect eligibility.

Does invoice finance reduce debtor days?

It releases cash earlier but does not necessarily change when customers pay. The effective reduction shown reflects the proportion advanced.

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