Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

What is the difference between invoice discounting and factoring?

April 26, 2017discounting factoring invoice

0

Posted

What is the difference between invoice discounting and factoring?

1 Answer

0

Posted

Factoring is a more ‘hands on service’, providing businesses with a credit control service in addition to the advances against invoices. This differs to an Invoice Discounting service, which provides purely the finance element. Invoice Discounting has traditionally been aimed at companies with a turnover of £1m + however recent innovations in the market mean that businesses with turnover of £250k + can now access an invoice discounting facility.