Cost of Not Using Invoice Finance Calculator UK
Quantifies the hidden cost of waiting for customers to pay: bank overdraft, missed early-payment discounts, lost growth, late-payment fees, time spent chasing. Compares that against invoice finance cost.
Calculator
Annual cost of not using invoice finance
£14,010
Your hidden costs of waiting for customer payments add up to £14,010/year. Invoice finance at typical rates would cost £9,000/year - significantly cheaper than your hidden costs while also unlocking cash 50+ days sooner. Strong fit.
| Item | Value |
|---|---|
| Annual turnover | £500,000 |
| Average debtor days | 65 |
| Average outstanding invoices | £89,041 |
| Overdraft or loan rate | 9% |
| Overdraft cost (70% of outstanding funded) | £5,610/year |
| Time chasing payments (20 hours/month at £35/hour) | £8,400/year |
| Total annual cost of waiting | £14,010 |
| Invoice finance at typical rates (1.8% of turnover) | £9,000/year |
Source: Market Invoice cost-of-waiting calculator
Illustrative default scenario. In this example invoice finance is cheaper than the hidden costs of waiting and releases the cash 50+ days sooner.
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### Worked example: £500,000 turnover, 65 debtor days (default calculator scenario) | Item | Value | | --- | --- | | Annual turnover | £500,000 | | Average debtor days | 65 | | Average outstanding invoices | £89,041 | | Overdraft or loan rate | 9% | | Overdraft cost (70% of outstanding funded) | £5,610/year | | Time chasing payments (20 hours/month at £35/hour) | £8,400/year | | Total annual cost of waiting | £14,010 | | Invoice finance at typical rates (1.8% of turnover) | £9,000/year | Source: Market Invoice cost-of-waiting calculator Illustrative default scenario. In this example invoice finance is cheaper than the hidden costs of waiting and releases the cash 50+ days sooner.
“This models the cost of waiting on cash you are already owed, not a recommendation to borrow. Whether financing those invoices beats the status quo depends on your margins and how reliably your customers pay, which the headline figure cannot capture.”
What this tool tells you
Quantifies the hidden cost of waiting for customers to pay: bank overdraft, missed early-payment discounts, lost growth, late-payment fees, time spent chasing. Compares that against invoice finance cost.
All UK invoice finance providers serve businesses across the full UK. The numbers above are typical UK market rates for cost of waiting for invoices UK. For real quotes matched to your specific business, use our 60-second comparison tool.