£1m Invoice Finance Facility for a Contractual Business 

18th March 2024

Chris Davey

Corporate Building
Chris Davey

Chris Davey

Key Figures: 

  • Client: Electrical Installation Service  
  • Facility Amount: Circa £1m 

Enness was approached by a UK power generation company specialising in installation and design in this unique case. The company faced significant gaps in its working capital cycle, a challenge requiring a tailored solution. Enness stepped in with an invoice finance facility, effectively addressing the issue and ensuring the company's cash flow remained steady.

One of the most significant hurdles in this sector was the scarcity of lenders willing to provide invoice finance for a company that receives both stage payments and payments on a contractual basis. This challenge was compounded by the fact that many lenders are increasingly cautious about working with construction-type businesses. However, Enness's expertise and industry knowledge allowed us to find a solution. 

The terms of the facility provided to the company were as follows: 

  • Circa £1m facility limit
  • Above 60% advance rate per invoice
  • Competitive interest rate of 3% +base on drawn funds

These terms were designed to meet the company's specific needs and ensure a smooth cash flow.

Information contained in our case studies is for market and illustrative purposes only. In some cases, these may be made up of multiple cases and are for illustrative purposes only.

Some case studies are made up of enquiries that have come into the business, not all business completes, and the posting of a case study does not represent a completed piece of business.