Funds chosen invoices when you need cash without committing the whole debtor book.
Funding comparison · decision guideFCA-registered UK lender FRN 782472 (opens the FCA register in a new tab)
Selective vs full-ledger funding.
This is a choice between solving a specific invoice gap and installing an ongoing working-capital facility. The right answer depends on how often the gap repeats and how much of the debtor book you want inside the facility.
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Cash received · this invoice
A £50,000 invoice on 30-day terms
- Invoice value
- £50,000
- Paid to you, day 1–2
- £45,000
- When your customer pays
- £4,000
On a £50,000 invoice on 30-day terms: £45,000 advanced at 90%, £4,000 when your customer pays, a fee of about £1,000.
Illustrative: a 90% advance and a discount charge of about 2% of the invoice. Rates and advances vary by business, sector and customers.
Check eligibilityFunds across the debtor ledger as an ongoing working-capital structure.
Use selective finance for occasional pinch points. Use full-ledger funding when invoice timing is a recurring constraint.
Decision guide
Selective or full-ledger funding: the practical difference.
Selective funding targets one or a small number of invoices.
Useful for a specific large invoice or short-term timing gap.
A full facility may be excessive where the need is genuinely occasional.
| Question | Usually stronger when | Watch-out |
|---|---|---|
| Scope | Selective funding targets one or a small number of invoices. | Full-ledger funding works across the wider debtor book. |
| Best use | Useful for a specific large invoice or short-term timing gap. | Useful where credit terms regularly stretch working capital. |
| Admin | Usually narrower information around the selected invoices. | Requires broader ledger reporting and ongoing discipline. |
| Watch-out | Repeated one-off use can signal that a full facility is more honest. | A full facility may be excessive where the need is genuinely occasional. |
Worked example
One invoice, funded on its own.
A business funds a single £60,000 invoice to a large customer on 60-day terms and leaves the rest of its ledger alone.
You pay only for the invoice you choose; if you would fund every month, a full-ledger facility is usually cheaper.
| Invoice value, on 60-day terms | £60,000 |
|---|---|
| Advanced within 24–48 hours (90%) | £54,000 |
| Discount charge, about 2% per 30 days, for 60 days | £2,400 |
| Paid to you when your customer pays | £3,600 |
| Total cost of funding this invoice | £2,400 (4% of the invoice) |
Illustrative: up to 90% advanced and a discount charge of about 2% of the invoice per 30 days. Rates, advances and any service fee vary by business, sector and customers, and are confirmed in writing before you commit.
Decision framework
Selective or full-ledger funding: use the comparison to make a funding decision.
Decide whether the need is genuinely occasional or part of the normal working-capital cycle.
Scope
Selective finance funds chosen invoices; full-ledger finance supports a broader revolving pool.
Cost pattern
Selective use can be more expensive per invoice; full-ledger facilities may include minimums and ongoing fees.
Suitability
Selective works best for isolated high-quality debts; recurring pressure usually points to a whole-ledger review.
Examples are educational only. Eligibility, pricing, security and final terms always depend on a formal assessment of your business, your documents and the facility proposed.
Is selective finance more expensive?
Per invoice it can be, but there are no minimums or whole-ledger fees. Over many invoices a full facility is usually cheaper.
Can I switch later?
Yes. Many businesses start with selective finance and move to a full facility as the need becomes regular.
Will my customer know?
Usually the funded invoice is disclosed to that customer. Ask if confidentiality matters.
How quickly is a selected invoice funded?
Once approved, typically within a day or two.
Next step
Ready to check the numbers on your case?
A director reviews every application and gives a first view within one working day.