Funding Circle vs Hydr: UK Invoice Finance Comparison 2026
See how Funding Circle compares to Hydr side by side, then get three tailored quotes to weigh alongside them. Free, no obligation, and nothing to pay if you decide not to proceed.
Start here: what fits your business?
These are different products rather than like-for-like invoice finance rivals (Funding Circle: business term loans and flexipay (not invoice finance); Hydr: invoice finance). UK businesses still weigh them side by side, so the real question is which job you need doing, not which is the better invoice finance line. Funding Circle typically takes 48 hours (funds, after acceptance) to set up; Hydr advances up to 100% per invoice, setup time not published. Neither publishes a minimum turnover.
Side-by-side
Full reviews: Funding Circle · Hydr
| Compared on | Funding Circle | Hydr |
|---|---|---|
| Product type | Business term loans and FlexiPay (not invoice finance) | Single-invoice finance (digital, selective) |
| Min turnover | Not published | Not published |
| Advance rate | N/A (term loan, not advance against ledger) | Up to 100% per invoice |
| Typical fee | Rates starting at 6.9% per year (business loans) | Flat fee per invoice financed |
| Confidential available? | N/A | No |
| Factoring available? | N/A | Yes |
| Setup speed | 48 hours (funds, after acceptance) | Not published |
Sources for these figures: Funding Circle: founding date · Funding Circle: loans from 6.9% per year, funds typically within 48 hours · Funding Circle: business loan £10,000 to £750,000, up to 6 years, one-off completion fee (checked 1 November 2026) · Funding Circle: £18 billion lent to over 135,000 UK businesses · Funding Circle: "If a personal guarantee is required or there are any offer conditions, these will also need to be completed" · Hydr: 100% advance, fixed fee per invoice, onboarding under 10 minutes · Hydr: sign-up "takes less than 10 minutes"; "Paid within as little as 24 hours"
When Funding Circle wins
- Established large-scale UK SME lending platform.
- Fixed repayments make budgeting predictable.
- No debtor notification and no ledger management.
- Fast online application and decisioning.
Best for
One-off growth or capital projects, Predictable fixed-repayment borrowers, Businesses without a strong sales ledger.
Watch outs
- Not invoice finance: a term loan, not a ledger advance.
- Funding does not scale automatically with sales.
- May require a personal guarantee.
When Hydr wins
- Sign-up takes under 10 minutes, by Hydr's account.
- Paid within as little as 24 hours, by Hydr's account.
- Integrates with Xero and other accounting platforms.
- Finance the invoices you choose, one at a time.
Best for
Selective single-invoice finance, Smaller and early-stage businesses, Xero-driven workflows.
Watch outs
- Selective single-invoice model, not whole-ledger factoring.
- Per-invoice fees can add up for high-volume users.
FAQ
Funding Circle or Hydr: which fits your business in 2026?
They do different jobs (see the product types above), so pick by the job you need doing.
How do Funding Circle and Hydr price their facilities?
Pricing: Funding Circle, rates starting at 6.9% per year (business loans); Hydr, flat fee per invoice financed. Get a written quote from each on the same invoices and compare the total cost.
Can I get a confidential facility with either Funding Circle or Hydr?
Funding Circle is not an invoice finance facility, so confidential invoice discounting does not apply. Hydr does not run a confidential discounting product; the facility is disclosed factoring only.
Who is each one not suited to?
Funding Circle is a poor fit for funding that flexes with turnover. Hydr is a poor fit for high-volume whole-ledger users. If that describes your business, you can get free quotes through our quote form.
Can Market Invoice help me choose between Funding Circle and Hydr?
Yes. marketinvoice.co.uk is an independent comparison and introducer service operated by Best Business Loans Ltd (company 16833937), and is not tied to either provider. Share your turnover, sector and debtor profile and we pass your details to one or more of the finance partners we work with, who come back to you with quotes, with no obligation to proceed.
Related
Sources
- Figures for Funding Circle come from its own website.
- Figures for Hydr come from its own website.
- Funding Circle: founding date
- Funding Circle: loans from 6.9% per year, funds typically within 48 hours
- Funding Circle: business loan £10,000 to £750,000, up to 6 years, one-off completion fee (checked 1 November 2026)
- Funding Circle: £18 billion lent to over 135,000 UK businesses
- Funding Circle: "If a personal guarantee is required or there are any offer conditions, these will also need to be completed"
- Hydr: 100% advance, fixed fee per invoice, onboarding under 10 minutes
- Hydr: sign-up "takes less than 10 minutes"; "Paid within as little as 24 hours"
Get free quotes
Tell us monthly turnover, sector, debtor profile and whether the facility needs to be confidential. We pass your details to one or more of the finance partners we work with, who come back to you with quotes. Free, and no obligation to proceed.
Get my quotes →Best Business Loans Ltd (16833937), directed by Oliver Mackman, owns and operates Market Invoice. Last updated: .
Compare Funding Circle and Hydr quotes
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How we make money: Market Invoice is an independent comparison service, not a lender. We may be paid by the finance partners we introduce you to. This could be a fee or commission, depending on the partner and the finance arranged. It does not change what you pay. How we are funded.
Disclosure: marketinvoice.co.uk is an independent invoice finance comparison and introducer service operated by Best Business Loans Ltd (company number 16833937). It is a separate business and is not connected to Kriya, Allica Bank or to any provider named on this page. We may be paid by the finance partners we introduce you to. This could be a fee or commission, depending on the partner and the finance arranged. It does not change what you pay. Invoice finance for limited companies is not a regulated activity, so this comparison is general information rather than regulated financial advice. Figures are indicative; larger facilities are commonly priced bespoke, so confirm terms directly with the provider before you sign.