The 6 Best Invoice Factoring Companies In 2023

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When looking at invoice factoring from Hitachi Capital UK, one thing immediately stands out.

They were named the Best Factoring and Invoice Discounting provider at the 2019 Business Moneyfacts awards, the UK’s largest business finance awards ceremony. So they must be doing something right.

They currently support over 800 SMEs and have 25 years experience of funding businesses.

Hitachi Capital UK advances up to 90% of the invoice value and offers two fee structures.

Their standard invoice factoring product operates on typical terms, with a service fee that is a percentage of company turnover, and a discount fee that is a percentage of the amount lent.

However, Hitachi also offers a product called Inspired Cashflow, a comprehensive invoice factoring solution that charges a simple fee of between 0.45% and 5% of the company’s annual turnover.

This means no hidden fees and no set up costs, and is a great option for any SME that is put off by the complicated fee structures of other providers.

Refreshingly, Hitachi is one of the few invoice factoring companies to offer a six-month trial period to see if invoice factoring is the right fit for your small business.

After this, you’ll be offered a rolling monthly contract, perfect for SMEs put off by lengthy contracts.

This provider also scores highly for customer service, with an average Feefo score of 4.3. However, there are only seven reviews left during the past year, and one of these criticises the lack of communication between different departments at the company.

Also remember the usual caveat with Feefo, customers can only leave a review if invited to do so, so the company being reviewed has more control over the process than with sites like Trustpilot.

In terms of eligibility, Hitachi states that its services are suitable for businesses with a minimum annual turnover of £50,000.

However, they also stress that they assess each business individually, and will consider startups, especially if they are homeowners.

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