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Invoice finance calculator UK — estimate costs and source live lender products

Invoice Finance Calculator

Estimate your costs, source live lender products and apply online — free to use.

Calculate your invoice finance costSee the full journey
Live lender productsFactoring & discountingBrokerage support included
Invoice finance calculator UK Live lender-uploaded products Factoring & discounting Specialist brokerage support Free to calculate & source

Work out what invoice finance could cost your business — then find the facility to match. Enter your turnover, invoice values and terms to estimate your service fee, discount charge and total cost, and see how the numbers change as your figures do.

DyneSourcer isn't a static rate table. Products are uploaded directly by lenders, so you're sourcing from live, current deals — not out-of-date listings. Once you've run your figures, shortlist the products that fit and apply online. Your application is then handled by Dynamic Commercial Finance, our specialist brokerage team, who fact-find your case and submit it to the lender on your behalf.

Calculate your invoice finance cost

How the DyneSourcer invoice finance calculator works

Enter a few basic details and the calculator estimates your costs instantly:

  1. 1

    Turnover / invoice values

    Sets the size of the facility and the funds you can draw.

  2. 2

    Advance rate

    The percentage a lender releases upfront, typically 80–90%.

  3. 3

    Service fee

    The cost of running the facility, usually a percentage of turnover.

  4. 4

    Discount charge

    Interest on the funds you draw, charged daily and linked to the base rate.

  5. 5

    Payment terms

    How long your customers take to pay, which drives the discount charge.

The result gives you an estimated total cost, so you can compare scenarios side by side before you shortlist a product.

The figures are a guide, not a formal quote. Your final cost depends on the lender, the product and your business profile — but the calculator is the fastest way to sense-check a facility before you apply.

Run your figures

Invoice finance filters — real lender criteria

Every filter maps to a real lender criterion — so the products you see are ones you can actually get, not just the cheapest headline rates.

Sector
Annual turnover
Advance rate
Facility size
Years trading
Debtor concentration
Disclosed vs confidential
Selective vs full ledger
Minimum facility
Maximum facility
Contract type
Home owner (construction)

What businesses see instantly

Advance rate
Service fee
Discount charge
Total facility cost

Explore related tools: buy-to-let calculator, semi-commercial calculator.

From calculation to completed application — one platform

DyneSourcer takes you further than a standard calculator. Here's the full journey:

Estimate

Model your cost with the calculator above.

Source

Browse invoice finance products uploaded directly by lenders, so the data is live and current.

Shortlist

Save the facilities that fit your business, with no obligation to proceed.

Apply online

Submit your application through the platform when you're ready.

We handle the rest

Your application goes to Dynamic Commercial Finance, our specialist brokerage team, who complete a full fact-find and submit your case to the lender.

You get the speed and transparency of an online sourcing tool, backed by experienced brokers who package and place your application properly.

Source live invoice finance products

What is invoice finance?

Invoice finance lets your business borrow against the value of unpaid invoices. When you raise an invoice, a lender advances a large percentage of its value straight away — typically 80% to 90% — and releases the balance (minus fees) once your customer pays.

Instead of waiting 30, 60 or 90 days to get paid, you access the cash now to cover payroll, pay suppliers and take on new work. It's one of the most widely used working-capital tools in the UK, supporting businesses across recruitment, manufacturing, construction, haulage, wholesale and professional services. Because it's secured against your invoices, it often unlocks more cash than an unsecured loan — and grows automatically as your sales grow.

How does invoice finance work?

The process is simple once your facility is set up:

  1. 1

    You raise an invoice

    You raise an invoice to your customer on your usual terms.

  2. 2

    You submit the invoice

    You submit the invoice to your lender (or connect your accounting software).

  3. 3

    The lender advances a percentage

    The lender advances a percentage — usually 80–90% — often within 24–48 hours.

  4. 4

    Your customer pays

    Your customer pays the invoice by the due date.

  5. 5

    You receive the balance

    You receive the balance, minus the lender's fees.

With factoring, the lender also manages credit control and collections. With invoice discounting, you keep control of collections and the arrangement stays confidential — your customers needn't know a lender is involved.

See what you'd pay — use the calculator

Types of invoice finance

Different structures suit different businesses. DyneSourcer lists products across all of them so you can source the right fit.

Invoice factoring

The lender advances funds and manages your sales ledger and collections. Ideal if you'd rather outsource credit control — though customers will typically know a facility is in place. Service fees are higher because more work is bundled in.

Invoice discounting

You receive the advance but keep managing your own credit control, and the facility is usually confidential. Generally cheaper, best suited to businesses with an established finance function and stronger turnover.

Selective / spot factoring

Finance individual invoices as and when you need to, rather than committing your whole ledger. The most flexible option with no long-term tie-in — you pay a premium per invoice for that flexibility.

Whole-turnover facilities

All your eligible invoices are funded under one agreement. Higher volume usually means lower percentage rates than selective finance.

How much does invoice finance cost in the UK?

Invoice finance costs have two main components:

  • Service fee — covers administration, credit control and ledger management. Typically 0.5% to 3% of turnover, with factoring at the higher end and discounting at the lower end.
  • Discount charge — interest on the funds you draw, calculated daily. This usually tracks the Bank of England base rate (currently 3.75%) plus a margin of around 1% to 3% for lower-risk businesses, rising higher for smaller or higher-risk firms.

For most UK SMEs in 2026 this works out at an all-in cost of roughly 1% to 2.4% of annual turnover, or around 5.5% to 8.25% on the funds actually drawn. Your exact rate depends on turnover, sector, customer creditworthiness, invoice volume and how long customers take to pay.

Because you only pay the discount charge on what you draw and for as long as it's outstanding, shorter payment terms and stronger debtors both bring your cost down. Because products are uploaded by lenders, the rates you source on the platform reflect what's genuinely available now.

Calculate your invoice finance cost

Indicative rate ranges only — August 2026. Live lender-uploaded products are the source of truth.

Is your business eligible?

Most UK businesses that invoice other businesses (B2B) on credit terms can qualify. Lenders typically look for:

  • B2B invoicing — you sell to other businesses, not consumers.
  • Credit terms — you invoice after delivering goods or services, with payment due later.
  • Creditworthy customers — the strength of your debtors matters as much as your own accounts.
  • A minimum turnover — some facilities start from as little as £50,000; others suit larger ledgers.

Newer businesses, sole traders and firms turned down elsewhere can still qualify with the right specialist lender — which is why sourcing across the market matters. If your case is complex, Dynamic Commercial Finance can help place it with the right lender once you apply.

The benefits of invoice finance

  • Fast access to cash — funds in as little as 24–48 hours, without waiting out long payment terms.
  • Funding that grows with you — the more you invoice, the more working capital is available.
  • Flexible — draw what you need, when you need it, and only pay for what you use.
  • Outsourced credit control (with factoring) — save the cost and time of chasing payments.
  • Preserve other credit lines — keep overdrafts and loans free for other needs.

Things to weigh up

  • Costs are ongoing and depend on how much you draw and how quickly customers pay.
  • Some facilities carry setup, audit, minimum-usage or exit fees — always check the full breakdown.
  • Factoring may mean customers know a lender is involved (discounting stays confidential).

Sourcing lenders side by side is the simplest way to avoid overpaying and to spot hidden charges before you commit.

Why use DyneSourcer?

Products uploaded by lenders

Live, current deals sourced directly from the source, not stale third-party listings.

Calculate, source, shortlist and apply in one place

The full journey, not just a cost estimate.

Specialist brokerage support

Applications are fact-found and submitted by Dynamic Commercial Finance, so your case is packaged and placed properly.

Every facility type

Factoring, discounting, selective and whole-turnover products side by side.

Whole-of-market view

Bank-owned facilities, independent specialists and fintech-backed lenders together.

Calculator suite

Part of our sourcing hub alongside buy-to-let and semi-commercial calculators.

Get started — calculate and source now

Invoice finance FAQs

Common questions about our invoice finance calculator, sourcing platform and brokerage process.

How does the DyneSourcer calculator work?

Enter your turnover, invoice values, advance rate, fees and payment terms, and it estimates your total cost. It's a guide to compare scenarios, not a formal quote.

What happens after I apply?

Your application is passed to Dynamic Commercial Finance, our specialist brokerage team, who complete a full fact-find and submit your case to the lender on your behalf.

Are the products real, current deals?

Yes — lenders upload their products directly to the platform, so you're sourcing from live, up-to-date deals rather than out-of-date listings.

How quickly can I get funded?

Once your facility is set up, advances usually arrive within 24–48 hours of submitting an invoice. Setting up a new facility can take a few days to a couple of weeks depending on the lender.

Will my customers know I'm using invoice finance?

With invoice discounting, no — the facility is confidential and you manage collections. With factoring, the lender handles credit control, so customers are generally aware.

What's the difference between factoring and discounting?

Factoring bundles in credit control and collections (higher fee, less admin); discounting leaves collections with you and stays confidential (lower fee, more control). Selective finance lets you fund single invoices on demand.

How is the cost calculated?

It combines a service fee (a percentage of turnover) and a discount charge (daily interest on funds drawn, linked to the Bank of England base rate). Use the calculator for an estimate based on your turnover, sector and payment terms.

Calculate, source and apply — all in one place.

Estimate your invoice finance costs, source live products uploaded by UK lenders, shortlist what fits and apply online. Our specialist brokerage, Dynamic Commercial Finance, handles the rest.

Calculate your invoice finance costInvoice finance blogs

Dynesourcer Ltd is an IAR of Dynamic Commercial Finance Ltd. Products updated August 2026.