BoE Base Rate: 4.50% (since 6 February 2025)

Paragon Bank Business Finance Review

Paragon Bank is a specialist lender within the Paragon Banking Group, listed on the London Stock Exchange and operating since 1985. They offer invoice factoring and invoice discounting for UK businesses with turnover from £250,000, with a focus on delivering tailored facilities through experienced relationship managers.

Key Facts

ProductsFactoring & ID
Min turnover£250,000
Established1985
ListedLSE
Our rating4.0/5
TypeSpecialist lender

Pros and Cons

Strengths

  • Nearly 40 years of specialist lending experience
  • LSE-listed parent group with strong capitalisation
  • Experienced relationship managers
  • Flexible facility structures for growing businesses

Limitations

  • £250k minimum turnover excludes smaller businesses
  • Less well-known brand than high street banks
  • Limited digital tools compared to fintech providers

Our Verdict

Paragon Bank is a dependable specialist lender with decades of experience in business finance. They are best suited to established SMEs who value personal service and the security of a publicly listed group. Businesses below £250k turnover will need to look at providers like Close Brothers or IGF, and those wanting a fully digital experience may prefer a fintech alternative.

OM

Oliver Mackman

Director, Market Invoice

Oliver leads Market Invoice's editorial and comparison research. With a background in UK commercial finance, he oversees provider analysis, rate verification, and industry reporting across all verticals.

Last reviewed: 7 April 2026

Get a Quote from Paragon Bank

Plus 2 more providers for comparison. Free, no obligation.

Your details are secure. We only share them with matched providers. See our privacy policy.

Paragon Bank Invoice Finance FAQ

What is the minimum turnover for Paragon Bank invoice finance?

Paragon Bank requires a minimum annual turnover of £250,000 for their invoice finance facilities. They focus on established SMEs with a proven trading record.

Is Paragon Bank the same as Paragon Group?

Paragon Bank is the banking subsidiary of Paragon Banking Group PLC, which is listed on the London Stock Exchange. The group has been operating since 1985 and includes specialist lending across multiple sectors.

Does Paragon Bank offer factoring and discounting?

Yes. Paragon Bank offers both invoice factoring (where they manage your credit control) and invoice discounting (where you retain control of your sales ledger). The choice depends on your business size and internal resources.