Invoice Finance for Wholesalers
By Joshua Giles, Founder and Director · Reviewed by the CoreFi credit team
Last updated 20 July 2026
CoreFi is a broker, not a lender. We do not set rates and lenders make all credit decisions.
In short: £50k - £5M facility over Ongoing (12-month rolling). The mechanic is straightforward.
The mechanic is straightforward. You raise a sales invoice to a retailer or trade buyer, assign it to the lender, and receive an advance, typically 80-90% of the face value, within 24 hours. The remaining 10-20% comes back when your customer pays, less the lender's charges.
For wholesalers that matters more than most. You are buying in bulk, often on 30-day supplier terms, then selling on 60 or 90-day trade credit. The gap between paying out and receiving payment is where cash flow breaks. A £500k order to a major retailer can lock up working capital for three months. Invoice finance closes that gap and lets you take the next order.
The best terms go to wholesalers with a spread of customers across the debtor book. If one buyer accounts for more than 40% of your invoiced turnover, most lenders will want credit insurance on that debtor or they will cap the advance rate on that concentration. We have seen facilities refused on that basis alone, so it is worth knowing before you approach a lender. A diversified book, ten or more trade buyers, gets cleaner approvals and higher advance rates.
We do not set the rate and we will not pretend to. The lender sets the service charge and the discount rate once they have reviewed your sales ledger, your debtor ageing, and the quality of your customer base. What we do is match you to the lenders whose appetite fits your sector and debtor profile, rather than the ones who will decline on day one. CoreFi is a commercial finance broker, not a lender, so no page can promise you funding or a rate; the placement and the pricing sit with the lender.
Key Benefits
- A facility tied to your invoicing volume, so it grows when a big order lands without a separate application
- Advances typically within 24 hours of raising the invoice, not 60-90 days when the retailer decides to pay
- Non-recourse options exist where the lender absorbs the bad debt if a customer fails, though the cost reflects that protection
- A spread of 10+ trade buyers gets you a cleaner approval and a higher advance rate than a book dominated by one large retailer
Frequently Asked Questions
Is invoice finance suitable for businesses with seasonal peaks?
Yes, and it is one of the few products where the facility adjusts automatically. You draw more in peak months when invoicing is heavy and less in quieter ones. You are not locked into a fixed facility limit that sits unused for half the year.
Can I combine it with stock finance for buying inventory?
Some lenders offer an integrated stock and invoice finance facility that covers the full stock-to-cash cycle. You use the stock line to buy the goods and the invoice line to bridge the gap until your customers pay. We work with lenders who structure both together, though they are separate products and not every lender does both.
What if I have a few large customers?
Debtor concentration above roughly 40% of turnover on one buyer is the most common reason lenders restrict advance rates or decline outright. The fix is either credit insurance on that debtor, or demonstrating the relationship is stable and long-standing. Come to us with your debtor ageing report and we will tell you honestly how it is likely to land before you apply.
How are returns and credit notes handled?
Credit notes reduce the amount available on the facility. Lenders hold back 10-15% of each invoice as a reserve specifically to absorb returns, disputes, and credit notes. If your returns rate is unusually high, that reserve percentage goes up.
Invoice Finance calculator
Move the sliders for an instant estimate. Free to use, no sign-up.
Cash advanced now
£42,500
Fee
£750
Net received
£49,250
Held back
£7,500
Illustrative estimate only, not a quote or financial advice. A broker will confirm exact terms based on your circumstances and lender appetite.
Work out your numbers
Related Funding Options
Invoice Finance UK: Fund Your Sales Ledger, Not Your Property
Invoice finance advances up to 90% of an unpaid invoice, often within a day of raising it. We place factoring & discounting facilities for UK limited companies across most sectors, with no property charge required.
Stock Finance for Wholesalers
Stock finance for wholesale and distribution businesses: a revolving facility secured against warehouse inventory, so your buying power does not stall between supplier invoice and customer payment.
Trade Finance for Wholesalers
UK wholesale distributors pay overseas suppliers on shipment but collect from customers 60 to 120 days later. We place trade finance that funds the purchase order and recovers when you get paid.
Invoice finance by location
Lender appetite varies by city and region. If you would rather start from where your business is based, these local guides cover the same funding with the local picture.
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Get matched with lendersCoreFi is a trading name of JG Core Ltd (Company #16218779, England & Wales). CoreFi acts as a commercial finance broker and does not provide regulated financial advice. All products described are unregulated business-to-business finance. Information on this page is for general guidance only and does not constitute a formal offer of finance. Terms, rates, and availability are subject to lender criteria and may change without notice.