Spot Factoring, or single invoice factoring, is a flexible funding option where businesses sell individual invoices to a lender for immediate cash. Unlike traditional factoring, it requires no long-term contracts or commitments on multiple invoices, making it ideal for one-off or occasional funding needs.
Spot factoring is typically available to businesses with outstanding invoices. Lenders assess your business’s financial stability, the quality of your receivables, and your creditworthiness. No long-term commitment is needed, and you can choose specific invoices to factor.
The amount you can access through spot factoring depends on the value of the invoices you choose to factor. Typically, lenders will advance up to 85-90% of the invoice value, with the remaining percentage paid once the customer settles the invoice.
Once your invoices are approved, you can usually receive funding within 24–48 hours. The process is fast and straightforward, especially if you have a strong relationship with your customers and the invoices are clear and well-documented.
Spot factoring is used to improve cash flow by advancing funds based on outstanding invoices. It’s ideal for managing urgent financial needs like paying suppliers, covering payroll, or addressing short-term cash flow gaps without committing to long-term financing.
The costs of spot factoring typically include a service fee and interest, which can range from 1.5% to 5% of the invoice value, depending on the terms and risk involved. There may also be an additional fee for any invoice that is not paid within the agreed-upon period. Terms are generally short-term, aligned with the payment period of the invoices.
Complete our quick online form with a few details about your business and what you need funding for. No commitment, no jargon.
A dedicated finance expert will get in touch to understand your needs and tailor options that work for your business.
We’ll match you with trusted lenders from our panel, offering competitive rates and flexible terms suited to your sector.
Review your finance offers with full transparency. We’ll guide you through the details so you can make a confident decision.
Once approved, your funds are released quickly — often within 24–48 hours — so you can get back to growing your business.
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Yes, especially as approval relies more on the client's financial strength than the borrower.
Yes, spot factoring allows you to select specific invoices to finance.
Funds are typically available within 24-48 hours of the invoice's approval, lender will run checks to confirm the invoice raised.
In recourse factoring, you’ll need to repay the advance, while in non-recourse factoring, the lender assumes the risk.
Yes, most lenders have minimum and maximum invoice value criteria, which vary depending on the provider.
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"Spot factoring provides businesses with flexibility by allowing them to sell individual invoices rather than committing to a long-term facility. This is ideal for one-off funding needs, giving businesses quick access to cash without tying up their entire sales ledger."
