Select Invoice Finance Review
Select Invoice Finance is an independent provider offering flexible factoring and invoice discounting facilities to UK businesses. They take a tailored approach to each client, structuring facilities around individual business needs rather than applying rigid criteria. Their flexibility makes them a practical option for businesses that need a provider willing to adapt.
Select Invoice Finance is an independent UK provider offering flexible factoring and invoice discounting, with advance rates around 85% and service charges from 0.6%.
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Summary
Select Invoice Finance is an independent provider offering flexible factoring and invoice discounting to UK businesses. Advance rates run to around 85% with service charges from 0.6% and discount charges at base rate plus 3.5%. It structures facilities around individual business needs rather than applying rigid criteria, making it a practical option for businesses needing an adaptable provider.
This page covers
Select Invoice Finance products, advance rate, pricing and flexible facility structuring
Not covered here
General invoice finance education (see /guides/), sector pages (see /industries/), the full provider directory (see /providers/)
Key Facts
When Select Invoice Finance Fits
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Manufacturing or wholesale businesses turning over £500k-£3m with seasonal invoicing patterns
Select's flexible structuring allows them to accommodate fluctuating ledgers where rigid advance formulas from larger banks would create cashflow gaps during quieter trading periods.
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Owner-managed businesses in recruitment, staffing or professional services with £750k+ turnover seeking confidential facilities
Their invoice discounting product suits firms that want to retain client relationships and credit control while accessing 85-90% of invoice values within 24 hours of assignment.
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Established businesses switching from a bank-owned provider after service deterioration or inflexible covenant changes
As an independent, Select can often approve structures that high-street lenders won't, including selective invoice financing or higher concentration limits for businesses with one or two major clients.
When to Look Elsewhere
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Start-ups or businesses under £250k turnover needing their first invoice finance facility
Better fit: Sonovate. Sonovate specialises in smaller recruitment and contractor businesses with lower minimums and faster digital onboarding.
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Businesses requiring facilities above £5m with multi-currency invoicing across EU markets
Better fit: HSBC Invoice Finance. HSBC's international trade finance integration and multi-currency ledger systems suit larger exporters better than most independent providers.
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Construction subcontractors with retention-heavy contracts and application-stage funding needs
Better fit: Optimum Finance. Optimum offers construction-specific products including retention finance and stage payment advances that standard invoice finance doesn't cover.
How Select Invoice Finance Compares
| Provider | Type | Min facility | Fee from | Advance to | Speed |
|---|---|---|---|---|---|
| Ultimate Finance | both | £100k | 0.5% | 90% | 2-3 days |
| Pulse Cashflow | both | £50k | 0.75% | 85% | 24 hours |
| IGF Invoice Finance | both | £250k | 0.4% | 85% | 3-5 days |
vs Ultimate Finance: Ultimate offers slightly higher advances but Select typically provides more flexibility on concentration limits and non-standard ledger structures.
vs Pulse Cashflow: Pulse operates a faster digital platform suited to smaller facilities, while Select focuses on relationship-driven service for established businesses with more complex needs.
vs IGF Invoice Finance: IGF offers lower minimum fees for clean ledgers but Select's underwriting accommodates businesses with past CCJs or director guarantees that IGF would decline.
Worked Example
A Coventry-based engineering components distributor with £1.2m turnover
Setting Up With Select Invoice Finance
- 1
Initial assessment and ledger review
Submit three months of sales ledger, management accounts and director details. Select's underwriters review concentration, debtor quality and trading history, typically providing an indicative term sheet within 48 hours for standard cases.
- 2
Facility structuring and legal documentation
Select tailors advance rates, concentration limits and reserve structures to your specific ledger. Legal documentation includes a debenture and client agreement. Most facilities complete within 10-14 days from application to first drawdown.
- 3
Ledger integration and first funding
Your sales ledger integrates with Select's funding platform. For factoring, you redirect customer payments to a trust account in your trading name. For discounting, you retain collections. First advance typically releases within 24 hours of invoice assignment.
FAQs
What's the minimum turnover Select Invoice Finance requires?
Select typically works with established businesses invoicing at least £30,000-£40,000 monthly, which equates to roughly £400,000 annual turnover. They occasionally accommodate smaller facilities where ledger quality is exceptionally strong, but businesses under £250,000 turnover will usually find better-suited providers among digital platforms like Pulse Cashflow or sector specialists.
Does Select offer selective invoice finance or whole ledger only?
Select provides both selective (spot factoring) and whole ledger arrangements. Selective facilities carry higher service charges, typically 1.2-1.8% per invoice, but suit businesses that only need occasional funding or prefer not to assign their entire debtor book. Most cost-effective arrangements involve assigning the full ledger with agreed concentration limits.
How does Select handle bad debt protection in factoring facilities?
Select offers both recourse and non-recourse factoring. Recourse facilities (where you carry the bad debt risk) attract lower fees, typically 0.5-0.8% service charge. Non-recourse protection, where Select assumes approved bad debts, adds 0.3-0.5% to the service charge and requires credit insurance or their own underwritten limits on each debtor.
Can Select fund invoices with extended payment terms beyond 90 days?
Yes, Select accommodates extended payment terms common in manufacturing and wholesale sectors. They fund invoices with terms to 120 days, though advance rates may reduce from 85% to 75-80% on invoices beyond 90 days, and discount charges accrue for the full credit period. Invoices with retention clauses require individual underwriting approval.
Our Verdict
Select Invoice Finance is a flexible independent worth considering if you need a provider that will adapt to your situation. The tailored approach is an advantage for businesses with non-standard needs. Compare their terms alongside other independents to ensure you are getting the best deal for your specific circumstances.
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: 8 April 2026