Apply for Spot Factoring

Simply complete this form to apply for Spot Factoring, we will get back to you right away.

No Credit Score Needed!

It takes less than a minute to apply.

Apply for Spot Factoring

Spot Invoice Factoring - Single Invoice Factoring - Spot Invoice Finance - Selective Invoice Factoring

Spot Factoring Calulator

*** This calculator and the values it displays are only to be used as guidelines. The figures that spot lenders use to calculate finance change on a daily basis and the spot factoring lenders fees vary from lender to lender. ***

To get the best spot factoring deals and the most accurate quotes, fill in your details on the form above and our team will get back to you with the best spot factoring quotes tailored to your requirements.

The Basics of Spot Factoring

Spot Factoring – also known as Single Invoice Factoring, Selective Invoice Factoring or Spot Invoice Finance is an alternative form of business finance that essentially trades unpaid invocies for money in the bank.

Exchange unpaid invoices for Cash.

Must be a UK based company.

Get paid within 24 hours.

Must invoice business clients.

No credit score needed.

Turnover of at least £50k pa.

Factor company collects payment.

Must have valid unpaid invoices.

Spot Factoring Requirements

Turnover over £50,000

One of the main requirements needed for spot factoring is to have a turnover of at least £50,000. Preferably your turnover will be over £100,000 per annum but if it’s less we may still be able to help.

Invoice Business or Government Clients

To be eligible for spot factoring, you must actively send invoices to business or Government clients for goods or services that you have provided. If your main income is to consumers rather than businesses then spot factoring is not for you.

Based in the UK

Your business must be based in the UK to be eligible for spot factoring. This includes England, Scotland, Northern Ireland and Wales.

Credit Score

Actually, your personal or business credit score are NOT taken into account with spot factoring! Spot Factoring is one of the only business finance options that does not take a credit score into account. Instead, the lenders use your unpaid invoices and the above requirements to determine whether they can offer you a spot factoring deal.

Why use Quotesy for Spot Factoring?

It is important to say from the start that we are not a spot factoring lender, nor are we a spot factoring broker. We do not charge for our service.

What we do at Quotesy is take just a few details from yourself about your spot factoring requirements – and find you the best spot factoring deals on your behalf.

We work closely with the top 10 spot factoring lenders and brokers in the UK which means we can get you better deals and save you valuable time in the process. We take your details, call around our spot factoring partners and connect you with the best spot factoring deals tailored to your requirements. You will receive a call from between 1 and 3 spot factoring lenders who will have your details and offers ready.

  • How do you decide which spot factoring lender is best for you?
  • How do you know if you are getting the best spot factoring deals?
  • Do you have the time to ring around all of the spot factoring lenders going through the painstaking process of giving all your details and requirements over and over again?

By using Quotesy for spot factoring, you can rest assured that the above 3 questions are being taken care of by industry leading experts and that you are going to be getting the best spot factoring deals on the market. Save yourself time and frustration by letting us do the leg work for you!

Spot Factoring Lenders

There are many spot factoring lenders and brokers out there who all offer their own benefits with varying fees and service charges.

The top 10 Spot Factoring providers in the UK are (in no particular order):

Invoice Finance Options - Bibby
Invoice Finance Options - Hitachi
Invoice Finance Options - HSBC
Invoice Finance Options - Lloyds Bank
Invoice Finance Options - RBS Royal Bank of Scotland
Invoice Finance Options - Close Brothers
Invoice Finance Options - Touch Financial
Invoice Finance Options - Aldermore
Invoice Finance Options - Market Invoice
Invoice Finance Options - Skipton

How does Spot Factoring work?

Spot Factoring is a form of business finance that pays an agreed percentage of a companies outbound invoices in advance.

Unlike Invoice Factoring where you can factor multiple invoices, Spot factoring (aka Single Invoice Factoring) allows you to factor single invoices.

This is particularly helpful for cash flow in a business, especially against clients who have long payment terms of between 30 and even 120 days before they pay your invoice.

How Spot Factoring works can be broken down into 3 easy steps…

Step 1

You raise an invoice for goods or services that you have provided to a company. The invoice must include the amount to pay and the amount of time it must be paid by.

Step 2

Send a copy of the invoice to your Spot Factoring provider who will pay you an agreed percentage of the invoice, straight into your bank within 24 hours.

Step 3

The Spot Factoring company will collect payment of the invoice. They will then send you any remaining money from the invoice that you didn’t borrow – minus their fees.

If you don’t want your clients to know you are using an Spot Factoring company, then you will be better off using Invoice Discounting or Spot Discounting (single invoice discounting). With Invoice Discounting, you manage the debt and collect payments yourself so the service is fully confidential. Spot Factoring and Invoice Discounting are very similar – with the confidentialty being the only difference.

Advantages of Spot Factoring

There are many advantages of spot factoring, such as being a very easily accessible form of business finance.

  • You are able to factor single invoices, unline Invoice Factoring where you factor more than 1 invoice.
  • Increases Cash Flow.
  • Improves Working Capital.
  • Frees up Time to work on your Business.
  • Factoring company manages the debt, chases payment and does all the work for you.
  • Allows you to plan for Growth.
  • No Limit on Available Borrowing.
  • Better Debt Management.
  • Money generally paid within 24 hours of applying.
  • No Credit Score needed.
  • Low Risk Business Finance.
  • Easily accessible form of Alternative Business Finance.
  • Clients tend to pay invoices on time after dealing with a spot factoring company.

Disadvantages of Spot Factoring

It is important to remember that spot factoring is an alternative form of business finance. As with any form of business finance, there are downsides – such as having to pay the money back, with fees!

  • Spot Factoring is not confidential. If you want confidentiality, use Invoice Discounting or Spot Discounting.
  • Your clients will know you are using a Factoring Company.
  • Spot Factoring can be classed as short term finance so can have higher rates.
  • It may seem asif you are getting less money for the work you do – but it is important to remember that spot factoring is a form of finance and it needs to be paid back – from the collection of your invoices.
  • Complex exit process – It can sometimes be difficult to exit a factoring agreement if you suddenly have less money coming in – but it is not a major problem if managed correctly.

As with all forms of business finance, spot factoring does have it’s down sides – allthough in our expert opinion, we believe that the advantages of spot factoring outweigh the disadvantages of invoices factoring by a good margin. You will have to make the decision for yourself using the information we have provided you with.

Apply for Spot Factoring

You have 2 options when you want to apply for spot factoring.

Firstly, you can trawl the internet and call as many spot factoring companies as you can find – repetitively giving your details and requirements over and over again, while frustratingly trying to work out which is the best deal for you, or..

Secondly, you can apply for Spot Factoring with Quotesy. All you have to do is take 1 minute to fill out the form at the top of this page and we will do all the leg work for you. We have close contacts within the spot factoring industry and we can get amazing deals on your behalf.

So to recap, when you want to apply for spot factoring – simply fill in our form at the top of the page and then wait for a call from an spot factoring company, who will already have your details and requirements at hand – saving you time, frustration and money!