INVOICE DISCOUNTING / DEBTOR FINANCE
Finance that’s flexible — and grows with your sales.
Invoice Discounting unlocks cash tied up in unpaid invoices, giving you access to funds within 24–48 hours when customers take 30–90 days to pay .
It’s a working capital solution designed for growing businesses, labour‑intensive industries, and firms without property security .
What Invoice Discounting Is
A revolving facility that advances 80–90% of the value of your invoices within 24–48 hours, with the balance released when your customer pays (less fees and interest) .
It grows automatically with your sales — giving you the flexibility traditional overdrafts and term loans can’t match.
Why Businesses Use Invoice Discounting
1. Fast access to cash
Funds are available within 24–48 hours of raising an invoice .
2. Facilities grow with your business
Overdrafts and term loans have fixed limits and must be renegotiated as you grow — invoice discounting scales automatically .
3. No reliance on property
Traditional facilities are tied to the value of your real estate — usually your home . Invoice discounting is secured on business assets, principally your invoices, not your family home .
(A big plus with your life partner.)
4. Supports rapid growth
While superficially dearer than an overdraft, the ability to grow sales exponentially over a short period more than compensates .
5. Ideal for B2B businesses
If you sell business‑to‑business, invoice discounting offers greater flexibility and is a better option — especially for fast‑growing firms .
How Invoice Discounting Works
- You raise an invoice
- The lender advances 80–90% within 24–48 hours
- Your customer pays
- You receive the balance less fees and interest
Facilities are secured on your receivables — not your home — with only your personal fiduciary guarantee required .
Case Study: Long‑Term Funding Success
In 2009/10 AFN arranged a $1.6m invoice discounting facility to refinance a service firm’s bank bill facilities and help three directors fund a retiring shareholder when their bank wouldn’t assist .
Almost 17 years later, the firm still uses the same facility with the same lender as their main source of operational funding .
This demonstrates the durability and long‑term value of well‑structured debtor finance.
Lender Panel & Market Fit
AFN has approximately 20 lenders offering invoice discounting facilities — from major and second‑tier banks to specialist niche financiers .
Each lender has preferred market segments and industries, and AFN works to understand your business so we can match you with the right solution quickly and effectively .
A better solution to your business funding needs starts with a phone call .
Contact us to discuss your needs
