Service, collections or confidentiality that no longer fit the business
Invoice Finance · UK limited companies
Switching Invoice Finance Providers
Growing sales, but your invoice-finance facility is not keeping up?
If customer limits, excluded invoices, charges or service are making the current arrangement harder to use, start by identifying what needs to change. NBS Finance can review your requirement through its lender and specialist partner network.
A different provider may offer a different structure. Whether switching makes commercial sense depends on the eligible ledger, proposed terms and the cost and practicality of leaving your current facility. We cannot promise more funding or savings.
NBS Finance is a broker and introducer, not a lender. An enquiry does not guarantee an offer.
Plan the transfer before giving notice
- Review the existing agreement. Gather notice and minimum-term dates, exit charges, security, debtor limits, current drawings and a written settlement estimate. Compare staying, renegotiating and switching through a facility review.
- Obtain a replacement assessment. Submit current ledgers, accounts and sector evidence. Check the proposed eligible book, reserves, usable funding and all conditions; an indicative offer is not completed funding.
- Agree the handover. Coordinate notice, settlement date, security release and any priority arrangements with both providers and advisers. Do not assume the old security disappears automatically.
- Confirm collections and payment instructions. Agree who issues notices, the receiving collection account, treatment of receipts in transit and the ledger reconciliation. Confidential facilities also need agreed account controls.
- Commence only when conditions are satisfied. Confirm replacement availability and contingency cash before relying on it for payroll or suppliers.
Ask about early-exit fees, notice-period minimums, legal costs and overlapping charges. Settlement and replacement funding can fall on different days, creating a temporary cash gap. Obtain a dated cash plan rather than assuming a seamless switch.
The UK Finance Inter-Member Transfer Process provides a framework for transfers between participating members. Applicability and timing depend on the providers and agreements; it is not a guaranteed current-account switch. Compare whole-facility costs and customer limits.
Quick answer
Reasons to review your invoice-finance provider
Growth constrained by customer limits, concentration caps or excluded invoices
A planned transfer after checking notice, settlement and security-release terms
Provider assessment
What to prepare before reviewing a provider switch
Providers set their own rates, charges, fees, security and terms. Clear evidence helps distinguish a viable route from an unsuitable application.
- Current agreement, outstanding balance, notice period and any termination costs; check the provider documents before giving notice
- Existing debenture or other security, release arrangements and any customer notifications required by the proposed structure
- Reconciled aged debtor ledger, customer concentration, reasons for moving and a coordinated migration date to reduce interruption to collections and funding
Important:
A switch does not guarantee savings. Compare total cost, service, controls and transition risk. If concentration is restricting availability, read our debtor concentration guide. For substantial ledgers, see large invoice-finance facilities; use the invoice-finance costs guide
to compare charges on the same basis.
Process
Plan the facility review and provider transfer
Tell us the amount, purpose and timing.
Share the documents relevant to this route.
NBS clarifies the requirement and possible route.
A suitable provider completes its own checks and sets any offer terms.
Decision check
Compare usable headroom, total cost and transfer terms
| Review area | Question |
|---|---|
| Availability | What is the current facility limit, what is drawn, and what can actually be drawn today? Which customer limits or exclusions restrict it? |
| Growth | Has monthly credit invoicing increased? Does the requested headroom follow completed sales, or costs incurred before invoices can be raised? |
| Cost | What are the service fee, discount charge, minimums and additional charges at the same expected sales and utilisation? |
| Operation | Do you need different collections support, reporting, debtor limits or confidentiality? |
| Transfer | What notice, settlement, security release and customer-payment changes would be required? |
Common questions
Switching Invoice Finance Providers FAQs
Will switching release more cash?
Possibly, but a higher facility limit alone does not create more usable funding. A new provider will assess invoice eligibility, advance rates, customer limits, reserves and existing drawings. Compare actual headroom after settling the current facility.
Should I give notice first?
Do not assume you need to end the current arrangement before reviewing options. Check the agreement and discuss proposed terms and a transfer plan with the providers before taking action. Notice, termination costs and security releases are document-specific.
Can I review costs without committing to move?
You can enquire while considering your options. Any comparison should use the same expected credit sales, funds drawn and payment timing, together with service, minimums and transfer costs. An enquiry does not commit you to accept finance.
Further reading and scope
This page is general commercial-finance information, not legal, tax or accounting advice. Read the relevant official guidance at www.british-business-bank.co.uk.
NBS Finance primarily supports UK limited companies. NBS Finance is not incorporated as a limited company and is not authorised or regulated by the Financial Conduct Authority. Where applicable, NBS works with lenders and intermediaries that are FCA-authorised for their own regulated activities; their status does not make NBS Finance FCA-authorised.
Already using invoice finance?
Tell us what you want the current facility to do better. Use the existing invoice-finance enquiry and include the current provider and reason for reviewing where requested. Allow around 5–8 minutes. Further details may be needed after the initial review.
Start your facility reviewStill deciding whether to change provider?
A transfer is one possible outcome. First compare whether the arrangement still fits your business with an invoice finance facility review; keeping or renegotiating a suitable facility can also be appropriate.