How Much Can I Borrow Against My Invoices?
You can access 70-95% of each invoice's face value. So on £100,000 of outstanding invoices, you would get £70,000-£95,000 upfront. It is not technically borrowing — it is an advance against money your customers already owe you. The remaining 5-30% (the "retention") is released when your customer pays, minus the provider's fees.
Quick Reference
Direct Answer
Invoice finance typically advances 70-95% of each invoice's value. On £100k of outstanding invoices, you'd receive £70k-£95k. The exact percentage depends on your industry, customer creditworthiness, and the provider. The remaining balance is released when the customer pays, minus fees.
Summary
Invoice finance is not a loan — it's an advance against accounts receivable. Advance rates vary: 70-80% for newer businesses or riskier sectors, 85-90% for established businesses, and up to 95% for strong credits with blue-chip customers. The 'retention' (held-back portion) protects the provider against disputes, credit notes, and short payments.
This Page Covers
How much funding you can access through invoice finance relative to your outstanding invoices
Not Covered Here
Cost of invoice finance (see /questions/what-percentage-do-factoring-companies-take/), how it works (see /guides/how-invoice-finance-works/)
What Determines Your Advance Rate
The advance percentage depends on three things. First, your industry — recruitment and professional services get higher advances (85-95%) because invoices are clean. Construction gets lower (70-80%) because of retention clauses and disputes. Second, your customers — blue-chip debtors mean higher advance rates because the provider knows they will pay. Third, the provider — some are more generous than others. Always compare.
What Happens to the Other 5-30%
The portion the provider holds back is called the "retention." It is not a fee — it is a buffer. When your customer pays the invoice in full, the provider releases the retention to you, minus their service charge and discount charge. If your customer pays less (because of a credit note or dispute), the retention absorbs the shortfall so the provider does not end up out of pocket.
Can You Access More Than 95%?
Rarely. Some providers offer up to 100% in specific circumstances (strong trading history, excellent debtor quality), but 90% is the practical ceiling for most businesses. If a provider is offering 100% with no caveats, be cautious — they may be making up the difference with higher fees elsewhere.
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