Selective invoice finance for one invoice or chosen debtors
How selective funding gives you control
Transaction-based options
Some products charge against the selected transaction rather than an entire ledger. Minimum, verification and other fees still depend on the provider.
No whole-ledger lock-in
Avoid assigning your entire turnover. If 80% of your customers pay on time, you can selectively fund the 20% that pay on 90-day terms.
Focused assessment
A provider assesses the chosen invoice and debtor. Setup and funding times still depend on verification, documents and provider processes.
Single invoice, selective debtor and spot factoring compared
While often used interchangeably, there are technical differences in how these flexible products operate:
- Spot Factoring (Single Invoice): A purely transactional arrangement. You sell one specific invoice to a lender. Once the customer pays, the transaction is finished. There is no ongoing facility.
- Selective Debtor Finance: A revolving facility, but restricted to nominated customers. For example, you might assign all invoices for your largest three customers, but leave the rest of your ledger unfunded.
- Selective debtor finance: Facilities where you may have flexibility to nominate debtor accounts, subject to provider agreement.
Pricing per transaction vs a whole-ledger facility
A hypothetical illustration only. Actual transaction pricing, reserves and payment timing vary by provider.
For illustration only. Exact advances, fees, and reserves depend on your provider, sector, and debtor quality.
Which invoices are usually eligible?
Because the lender does not have the security of your entire ledger to spread their risk, they are highly rigorous about which individual invoices they will fund.
The ideal invoice is:
- B2B (owed by another business or government entity).
- Owed by a debtor with a strong, verifiable credit rating.
- For goods completely delivered or services fully signed off (no milestone or stage payments).
- Undisputed, with a clear paper trail (signed timesheets, delivery notes, or purchase orders).
When selective funding becomes expensive or unsuitable
Potentially higher transaction cost
Compare the total pounds payable and all fees with a whole-ledger option on the same assumptions. A short-term transaction fee should not be presented as directly equivalent to an annual interest rate without specialist review.
Administrative burden
Funding invoices piecemeal requires constant uploading, verification, and notification for each new transaction.
Customer verification
A provider may contact the customer or require acknowledgement to verify that the invoice is valid and undisputed before making funds available.
Review frequent use
If selective transactions become frequent, compare the complete cost and operational burden with a whole-ledger facility.
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Frequently asked questions
Common questions from UK businesses about selective invoice finance.
Ready to discuss your requirements?
Speak to a Sorbus Finance specialist about a suitable selective invoice finance structure for your business. Free, no-obligation comparison across lenders on our selected panel.