Can event & corporate caterers access invoice finance to release cash from their invoices?

If your catering business is waiting 30–90 days for invoices to be paid, invoice finance can convert those unpaid invoices into immediate working capital — and UK Business Loans will match you with lenders and brokers who specialise in restaurants and event caterers.

Free eligibility check — Get matched to specialist lenders and brokers. No obligation. We are an introducer, not a lender. Complete our short enquiry to compare quotes.

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Quick answer

Yes — event and corporate caterers can usually access invoice finance to release cash tied up in unpaid B2B invoices. UK Business Loans connects catering businesses with specialist invoice finance lenders and brokers who understand hospitality cashflow cycles. Typical advance rates range from around 70%–90% of an invoice’s value (subject to lender criteria), and many caterers receive funds within 24–72 hours of approval. Complete a short enquiry for a free eligibility check and tailored quotes.

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What is invoice finance and how does it work?

Invoice finance is a way to unlock cash tied up in unpaid invoices so you don’t have to wait for customers to pay. There are two main models:

• Invoice factoring — the finance provider advances most of the invoice value (typically 70%–90%), handles collections and pays you the remainder minus fees once the customer pays. Factoring is visible to your customers (the factor may contact them directly).
• Invoice discounting — similar advance rates but the business retains responsibility for collections; discounting can be confidential so customers may not know you use it.

Typical mechanics (example): a £10,000 B2B invoice with an 85% advance would give you £8,500 immediately. The remaining £1,500 (less fees) is paid after the invoice is collected. Speed depends on lender checks, but many specialist providers release funds within 24–72 hours once approved.

Invoice finance suits seasonal trades and event-driven cash needs because it converts expected income into immediate working capital — ideal for paying suppliers, staff or deposits for new events.

Why event & corporate caterers commonly use invoice finance

Catering businesses face specific cashflow pressures:

• Long payment terms from corporate clients, venues or councils (often 30–90 days).
• High up-front costs for food, temporary staff and equipment hire for large events.
• Seasonal peaks where you need cash to buy stock before income arrives.
• Large one-off contracts where the invoice value is substantial but payment is delayed.

Benefits of invoice finance for caterers:

• Immediate working capital — pay suppliers and staff without tapping overdrafts.
• Scale up to take larger contracts safely.
• Predictable cashflow that supports planning and growth.
• Avoid giving away security against equipment or premises for short-term cash.

Good for: wedding/event caterers working with corporate and B2B clients, restaurant groups operating a catering arm, corporate lunch and conferencing caterers.

Can caterers access invoice finance through UK Business Loans?

Short answer: yes — UK Business Loans introduces caterers to invoice finance brokers and lenders who specialise in hospitality and events. We are an introducer — not a lender. Our role is to match your business to the providers most likely to consider your invoices and deliver quick quotes.

How it works with us:

1. Complete a short enquiry (company name, turnover band, typical invoice size, funding required, contact details). This is a free, no-obligation eligibility check — it is not a loan application.
2. We match you to 2–4 specialist lenders or brokers with experience in restaurants and catering.
3. You receive contact and quotes from those partners to compare terms and decide whether to proceed.

What lenders in our network commonly accept:

• B2B invoices issued to corporate customers, venues, event organisers, councils and charities.
• Consecutive invoice streams (ongoing contracts are easier to underwrite than one-off consumer invoices).
• Businesses with turnover and trading history appropriate to the product (from around £10,000 funding upwards).

Not all invoices qualify: consumer (B2C) event bills — for example, individual wedding customers paying a final balance — are less commonly accepted unless the lender specialises in consumer invoice coverage. Eligibility always depends on debtor credit quality, concentration of large customers and the lender’s specific rules.

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Typical eligibility and what lenders look for

• Debtor quality: Most providers want invoices payable by credit-worthy businesses (B2B). Contracts with major corporates or public bodies score well.
• Turnover: Many invoice finance facilities suit established limited companies with regular turnover. We can still match newer businesses to specialist providers, but terms may be tighter.
• Invoice type and age: Unpaid commercial invoices (typically raised less than 90 days prior) are preferred.
• Debtor concentration: Lenders prefer a healthy spread of customers; very high reliance on a single debtor can reduce availability.
• Minimum facility size: Our network generally arranges funding from around £10,000 and upwards.

Documents typically required by lenders/brokers:

• Recent bank statements
• Aged debtor ledger
• Copies of outstanding invoices and underlying customer contracts
• Company accounts or management accounts
• Director ID and proof of trading address

Commercial terms & costs explained

Invoice finance costs vary by product and provider. Common charges include:

• Advance fees / discount charge: a percentage of each invoice advanced (illustrative range 0.5%–3%).
• Service or management fees: monthly administration or facility fees (illustrative 0.5%–2% per month depending on facility).
• Interest on funded amounts: on some rate structures until customer pays.
• Collection fees: if the factor handles debtor chasing.

Illustration (indicative only): on a £10,000 invoice with an 85% advance (£8,500), a discount charge of 1.0% would cost £85 on that invoice plus any monthly service fee — leaving you with near-immediate access to most of the value. Always ask for full fee schedules; fees and structures differ widely between providers.

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How UK Business Loans speeds the process

We make matching simple and fast:

• Submit a short enquiry (takes 2 minutes).
• We match you to relevant lenders/brokers who specialise in hospitality and catering invoices.
• Expect contact within 24–72 hours; many caterers are contacted within a working day.
• Review and compare offers — there’s no obligation to accept.

We handle the introductions. The enquiry is only used to match you to appropriate partners — it is not a formal application and will not directly affect your credit rating.

Alternatives to invoice finance

If invoice finance isn’t the best fit, consider:

• Short-term business loans — fixed-term funding for specific projects.
• Merchant cash advance — repaid via a percentage of card takings (suitable for high card-volume businesses).
• Asset finance — to purchase kitchen equipment or vehicles and spread the cost.
• Supply-chain finance or supplier credit — negotiating extended payment or early-pay discounts with suppliers.

Unsure which is right? Complete a quick enquiry and a matched broker will advise on the best solution for your catering operation.

Real example — a typical catering invoice finance scenario

Fictional but typical example:

Bright Events Ltd (a corporate caterer) had a single £45,000 contract to cater a multi-day conference. Clients paid 60-day terms, but Bright needed cash for food deposits, temporary staff and equipment hire — total requirement £30,000. Through an invoice finance broker introduced by UK Business Loans, Bright secured invoice discounting with an 80% advance on each invoice. They received an initial advance of £36,000 (80% of £45,000) quickly, paid suppliers and staff, fulfilled the contract and received the remaining balance (less fees) once the client paid. The business avoided overdraft charges and was able to accept further event bookings.

Outcome: cashflow stabilised, ability to scale to larger contracts with confidence.

FAQs

Can I use invoice finance for private wedding customers?

Invoice finance is primarily for B2B invoices. Consumer (B2C) invoices — like individual wedding customers — are less commonly accepted unless a lender specifically covers consumer receivables.

How long does it take to get funds?

Once approved, many lenders release funds within 24–72 hours. Timing varies with due diligence and the complexity of the invoice book.

Will customers know I’m using invoice finance?

It depends. Factoring often involves the provider contacting debtors and may be visible. Invoice discounting can be confidential; lenders will explain options.

Does invoice finance affect my credit score?

The introduction and enquiry do not affect your credit score. Lenders may perform checks if you proceed to formal application.

What invoices are acceptable?

Generally commercial invoices payable by other businesses, public bodies or charities. Age, credit status of the debtor and whether the invoice is disputed all matter.

Can start-up caterers use invoice finance?

Some specialist lenders will consider early-stage businesses with contracted invoices, but criteria are stricter and fees may be higher.

What happens if a customer doesn’t pay?

Handling depends on your product. Factoring providers often manage collections; discounting keeps collections with you. If a debtor defaults, the provider’s contract will set out recourse and reserve arrangements — always clarify this before agreeing terms.

Are lenders regulated?

Lenders and brokers operate under different regulatory statuses. UK Business Loans is an introducer and does not provide regulated financial advice. All offers are subject to each provider’s criteria and terms.

Next steps — ready to release cash from your invoices?

If you run an event or corporate catering business and need working capital, start with a free, no-obligation eligibility check. It takes minutes and lets you compare quotes from specialist lenders and brokers who understand the hospitality sector.

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Questions? Call our support team on +44 20 1234 5678 or email support@ukbusinessloans.co for help with the enquiry process.

Compliance & disclaimer

UK Business Loans is an introducer of finance, not a lender, and does not provide regulated financial advice. Completing an enquiry will result in your details being shared with selected lenders and brokers in our network for the purpose of arranging quotes — the enquiry is not a loan application. All lending and finance offers are subject to lender and broker criteria, credit checks and terms. We arrange funding from approximately £10,000 upwards. Information on this page is for guidance only and is not a financial promotion on behalf of any specific lender.

For related products for restaurants and hospitality see our restaurants business loans page for tailored restaurant finance information: restaurants business loans.

1) Can event and corporate caterers access invoice finance to improve cashflow? — Yes — most event and corporate caterers can access invoice finance (factoring or discounting) to release cash tied up in unpaid B2B invoices.
2) How quickly can I receive funds from invoice finance? — Specialist providers often release advances within 24–72 hours of approval, depending on checks and onboarding.
3) What types of invoices qualify for invoice finance? — Lenders typically accept commercial B2B invoices payable by corporates, venues, charities or public bodies rather than consumer (B2C) wedding bills.
4) How much of an invoice will a lender advance? — Advance rates commonly range from about 70%–90% of the invoice value, subject to debtor credit quality and provider terms.
5) Will my customers know I’m using invoice finance? — It depends on the product: factoring is usually visible because the factor may contact debtors, while invoice discounting can be confidential.
6) How much does invoice finance cost for caterers? — Costs vary but commonly include a discount/advance fee (illustrative 0.5%–3%), monthly facility or service fees, and possible interest or collection charges, so always request full fee schedules.
7) Will completing UK Business Loans’ enquiry affect my credit score? — No — the short eligibility enquiry is not a formal application and won’t affect your credit score, though lenders may perform checks if you proceed.
8) What documents do I need to apply for invoice finance? — Lenders typically request bank statements, aged debtor ledger, copies of outstanding invoices and contracts, company accounts or management accounts, and director ID/address proof.
9) Can start-up caterers or small businesses access invoice finance? — Some specialist lenders will consider early-stage or smaller caterers with contracted B2B invoices, but criteria are tighter and terms may be less favourable.
10) If invoice finance isn’t right, what alternatives are available? — Alternatives include short-term business loans, merchant cash advances, asset or equipment finance, and supply-chain or supplier credit arrangements.