Bibby Financial Services vs Close Brothers Invoice Finance

Bibby Financial Services is a UK based independent invoice finance provider that offers solutions such as factoring, invoice discounting and related funding facilities to small and medium sized businesses, as outlined on its invoice finance product page. Close Brothers Invoice Finance is part of Close Brothers Group plc and provides invoice discounting, invoice factoring and asset based lending products to UK businesses, as described on its invoice finance overview and the group invoice finance page. Both lenders sit within wider financial groups that focus on supporting business cash flow using receivables backed facilities rather than traditional term loans, and both participate in the UK invoice finance and asset based lending market highlighted by UK Finance. This comparison looks at Bibby Financial Services and Close Brothers Invoice Finance side by side so that UK businesses can understand how their products, costs, service and suitability differ in practice without relying on headline claims alone.

1. Products and terms at a glance

Bibby Financial Services

Bibby Financial Services (BFS) positions itself as an independent invoice finance specialist that provides cash flow funding to thousands of businesses, with a core focus on invoice finance products including factoring, invoice discounting and sector specific facilities. BFS describes itself as the UK’s largest independent invoice finance provider, supporting more than 8,500 businesses worldwide, on its main site and in group literature cited by UK Finance.

On its invoice finance product pages, Bibby highlights the following facility types for UK businesses:

• Invoice finance, combining either factoring or invoice discounting, to unlock cash tied up in unpaid invoices, as outlined on its invoice finance page.
• Invoice discounting for businesses that want to maintain their own credit control while borrowing against unpaid invoices, as described within the same product overview.
• Invoice factoring, where Bibby manages credit control and debtor collections, referenced on its invoice finance products page.
• Bad Debt Protection as an optional add on that can be coupled with a Bibby finance facility to reduce the risk of customer insolvency or non payment, set out on its bad debt protection page.

BFS also references asset based lending and trade or export finance in external materials, including written evidence to Parliament that lists invoice discounting, factoring, lease finance, export and trade finance and specialist finance for SMEs as part of its range of options, as seen in its written evidence to the Treasury Committee. However, detailed product terms for these ancillary products are generally not itemised on public summary pages and can vary.

Eligibility for Bibby’s invoice finance is described at a high level in its article on whether businesses qualify for invoice finance. According to this eligibility guide, Bibby typically looks for B2B businesses that issue invoices on credit terms, have a spread of customers, maintain clear financial records and can demonstrate sustainable trading. The minimum and maximum facility sizes, turnover thresholds and sector appetite are not given as fixed public figures, so these are best regarded as varies and agreed case by case.

Close Brothers Invoice Finance

Close Brothers Invoice Finance operates as part of Close Brothers Group plc and provides a suite of receivables backed solutions, with its product pages stating that it offers invoice discounting and invoice factoring, as well as asset based lending and bad debt protection. The group’s invoice finance overview confirms that Close Brothers Invoice Finance provides invoice discounting, invoice factoring, asset based lending and bad debt protection under the Close Brothers brand.

On its dedicated site, Close Brothers Invoice Finance presents its products in more detail:

• Invoice finance as an umbrella for both factoring and discounting, described on its invoice finance product page.
• Invoice discounting, aimed at businesses that prefer to manage credit control in house, laid out on its invoice discounting page.
• Invoice factoring, where Close Brothers manages collections and sales ledger activity, described on its invoice factoring page.
• Asset based lending facilities that combine receivables, stock and sometimes plant and machinery as collateral, as set out on its asset based lending page.
• Bad Debt Protection as an add on to factoring or invoice discounting that protects against customer insolvency up to agreed credit limits, explained on its bad debt protection product page.

Close Brothers is also an accredited lender under the UK Growth Guarantee Scheme. The Close Brothers Group site notes that the Growth Guarantee Scheme is open to smaller businesses with turnover up to £45 million and lists Close Brothers Invoice Finance as one of the group units that can provide Growth Guarantee backed facilities, as set out on its Growth Guarantee Scheme page. This relates to certain facilities only and does not describe its whole lending book.

Public information about specific eligibility criteria for Close Brothers Invoice Finance is limited on product pages, but secondary sources in 2026 suggest that Close Brothers often focuses on established B2B firms with minimum annual turnover around the mid six figure to seven figure range, for example Hello Aria’s 2026 comparison article notes that Close Brothers Invoice Finance serves SMEs with a minimum turnover of around £750,000 per year, although the article clarifies that suitability ultimately depends on the case, as cited in its top invoice financing providers guide. Since Close Brothers does not post a definitive minimum turnover number in its own product pages, turnover and facility size expectations should be treated as varies and confirmed directly.

Invoice finance in context

Both lenders specialise in invoice finance rather than unsecured term loans. Invoice finance facilities are typically structured so that the lender advances a percentage of the value of approved unpaid invoices, with the balance (minus fees and charges) released when the customer pays. In factoring, the lender usually manages collections; in invoice discounting, the business retains this role. The detailed structure, covenants and security package differ between facilities and between lenders.

Neither Bibby nor Close Brothers publishes uniform maximum facility sizes, advance rates or contract lengths on their general UK product pages for all customers. They highlight broad flexibility and relationship based structuring, so in this comparison such metrics are treated as varies unless a specific published range is available for a given product or scheme.

2. Costs and repayments in practice

How pricing works for both lenders

Invoice finance costs typically consist of an ongoing service fee, which compensates the lender for managing the facility, plus a discount charge that is calculated as interest on the drawn balance, and sometimes other transactional or additional service fees. Neither Bibby nor Close Brothers supplies a full public tariff of service fees and discount margins for UK invoice finance on their main product pages, and any such headline figures would in practice only apply to specific facility sizes or risk grades. As a result, this comparison avoids specifying actual percentages and uses illustrative assumptions where needed.

Bibby refers to additional services and charges in documentation such as its general conditions and schedules, and for some jurisdictions it publishes supplementary documents describing additional services and charges in GBP, for example its additional services and charges schedule. However, these are not presented as a rate card for UK domestic facilities and many items are negotiated.

Close Brothers Invoice Finance similarly does not set out a public rate card, though its bad debt protection brochure and case studies refer to facilities where bad debt protection has been added to manage risk, for example its bad debt protection product description. Independent review sites and comparison articles sometimes quote example fee ranges or typical discount margins, but these can vary significantly by sector, turnover, concentration and security profile, and may change over time so they are not reproduced here as definitive figures.

Illustrative comparison of cost components

The table below uses indicative, not actual, percentages to show how invoice finance costs are often structured. These assumptions are for explanation only; actual pricing for Bibby or Close Brothers varies and must be confirmed directly.

Worked example 1, straightforward factoring facility

This example illustrates how costs might play out for a small to mid sized business using a factoring facility with either lender. Numbers are illustrative and not quoted terms.

Assumptions:

• Business has £500,000 of eligible invoices outstanding at any point.
• The facility advances 80 percent of eligible invoices on average.
• Average time to customer payment is 45 days.
• Service fee is assumed illustratively at 1.5 percent per year of invoice turnover.
• Discount charge is assumed illustratively at an annualised 6 percent on funds in use.

Step by step:

• Average funds advanced: 80 percent of £500,000 equals £400,000.
• Discount charge for 45 days on £400,000 at 6 percent per year: £400,000 × 6 percent × 45/365 which is approximately £2,959 (illustrative).
• If monthly invoice turnover is £500,000, annual turnover through the facility is £6,000,000. A 1.5 percent service fee on this turnover equals £90,000 per year, or £7,500 per month on average.

In practice, Bibby or Close Brothers could structure service fees on limits, volumes or a blend, and discount margins would reflect risk, sector, and benchmark base rates. Some facilities might have lower service fees but higher discount margins, or vice versa. Bad debt protection, if taken, would increase total cost.

Worked example 2, asset based lending with bad debt protection

This example compares using an asset based lending facility with bad debt protection, something both lenders offer, though Close Brothers promotes asset based lending more explicitly on its ABL product page.

Assumptions:

• Business has £2,000,000 in eligible receivables and £1,000,000 in eligible inventory.
• Advance rate is 85 percent on receivables and 50 percent on inventory.
• Average utilisation is 70 percent of the maximum available borrowing base.
• Service fee is illustratively 1.0 percent per year of total facility limit.
• Discount charge is illustratively 5.5 percent annualised on funds in use.
• Bad debt protection fee is illustratively 0.6 percent of covered invoice turnover.

Step by step:

• Maximum borrowing base: receivables advance £2,000,000 × 85 percent equals £1,700,000; inventory advance £1,000,000 × 50 percent equals £500,000, so total £2,200,000.
• Average utilisation: 70 percent of £2,200,000 equals £1,540,000 funds in use.
• Annual discount charge at 5.5 percent on £1,540,000 equals £84,700 (illustrative).
• Service fee at 1.0 percent of £2,200,000 facility limit equals £22,000 annually.
• If annual invoice turnover through the facility is £12,000,000, bad debt protection fee at 0.6 percent equals £72,000 per year.

In reality, both lenders would calibrate advance rates, margins and fees based on the quality and mix of receivables and stock, sector risk, concentration, and financial strength. Contractual terms such as covenants, reporting requirements and audit frequency will also influence effective cost.

Because invoice finance is not repaid in fixed instalments like a term loan, classic business loan calculator style amortisation schedules are less relevant. Instead, the cost is a function of utilisation levels and the speed at which customers pay, which is why lenders often pay close attention to aged debtor profiles and credit control processes.

3. Speed and service

Onboarding and decision speed

Neither Bibby nor Close Brothers Invoice Finance publishes standard approval times on their main UK product pages, and real world decision speed varies with facility complexity, sector and how quickly applicants supply information.

Bibby’s service materials and case studies frequently highlight responsiveness and the ability to put invoice finance facilities in place to relieve cash flow pressure, for example articles on managing cash flow and supporting SMEs, such as its managing your cash flow article, but they do not provide a guaranteed timeframe, so any expectation of approval timing should be treated as varies.

Close Brothers Invoice Finance also describes a relationship driven approach and references tailored funding solutions in its industry pages, such as its business services sector page, yet again without promising fixed approval times. External comparison guides sometimes mention that Close Brothers can fund within a set number of days, but those references are not formal commitments on the lender’s own site and may become outdated, so this guide treats speed as varies.

Ongoing relationship management and support

Bibby presents itself as a relationship led partner, with UK Finance describing it as one of the UK’s largest independent SME funders in its invoice finance and asset based lending overview. Bibby’s knowledge hub, including resources such as its cash flow management articles and SME confidence tracker reports, suggests a focus on ongoing support and content for SMEs, as seen on its knowledge hub.

Close Brothers Invoice Finance similarly emphasises relationship led facilities. The Close Brothers Group site’s invoice finance section notes that the group’s invoice finance arm provides tailored solutions and that asset based lending can support complex funding needs, as described on its invoice finance overview. Close Brothers Invoice Finance’s industry pages indicate dedicated teams for different sectors, for example its service industries page, highlighting sector familiarity.

Both lenders are members of the UK invoice finance and asset based lending market represented by UK Finance, and are referenced in the UK Finance standards framework, which sets voluntary standards for conduct, transparency and client support in invoice finance and ABL.

Complaints handling and service standards

Bibby’s approach to service quality is partly described in its "Our Service Promise" document, which sets out commitments such as adhering to the UK Finance Code of Conduct and providing clear expectations for clients, as outlined in its service promise PDF. Bibby’s main "Contact us" page gives telephone and contact channels for existing and prospective clients, which is the entry point for raising issues or complaints, as seen on its contact page. A separate, dedicated consumer style complaints page is not clearly signposted in the UK as of early 2026, so the exact internal complaints workflow may need to be requested from the relationship manager or via customer services.

Close Brothers Invoice Finance publishes a specific complaints page that explains how to raise a complaint, including that customers can contact the business by telephone or in writing and that complaints will be acknowledged and investigated in line with regulatory expectations, as laid out on its complaints page. A broader Close Brothers complaints procedure document further explains timelines for acknowledgement and final response at group level, as shown in its complaints procedure PDF.

4. Who each lender suits

Where Bibby Financial Services may fit best

Based on its own positioning and third party commentary in 2025 and 2026, Bibby tends to target SMEs across a wide range of sectors, from recruitment and manufacturing to services. Its evidence to Parliament and SME confidence tracker reports describe it as a funding partner to SMEs and note that its core offerings include invoice finance, lease finance and trade finance for businesses of different sizes, as illustrated in its written evidence and in SME tracker documents cited on its knowledge hub.

Bad Debt Protection is strongly featured in its marketing, with Bibby’s dedicated bad debt protection page explaining that it can be bolted on to Bibby finance facilities to help protect against the impact of customer non payment or insolvency, as described on its bad debt protection page. A separate article explains how bad debt protection can sit alongside invoice finance, which suits businesses exposed to concentration risk or operating in sectors where customer insolvencies are a concern, as laid out in its knowledge hub article on bad debt protection.

Given this focus, Bibby may suit UK SMEs that:

• Have regular B2B invoicing on credit terms and want to release cash tied up in receivables.
• Value working with an independent invoice finance specialist that positions itself as SME focused.
• Need optional bad debt protection to manage credit risk.
• May require export or trade finance alongside receivables funding.

Turnover thresholds, facility sizes and sector appetite for Bibby invoice finance are not published as hard lines and therefore vary.

Where Close Brothers Invoice Finance may fit best

Close Brothers Invoice Finance is part of a merchant banking group and actively promotes asset based lending, which is often associated with larger or more complex businesses. Its asset based lending product page discusses structuring facilities around receivables, inventory and other assets, for example in management buyouts or growth scenarios, as detailed on its ABL page.

Third party comparisons in 2026 suggest that Close Brothers Invoice Finance is particularly suited to established SMEs with higher turnover, often above several hundred thousand pounds to several million per year, and that it emphasises relationship management and flexibility, as discussed in Hello Aria’s 2026 comparison of invoice financing providers. Expert guides also position Close Brothers as a bank backed provider known for structured facilities and asset based lending options, as described on UK Finance’s ABL overview which lists Close Brothers as a participant.

Close Brothers Invoice Finance may therefore be better aligned with businesses that:

• Have higher turnover and more complex funding needs, potentially involving stock and fixed assets as well as receivables.
• Want to work with a bank group that offers asset based lending, bad debt protection and potentially Growth Guarantee Scheme backed facilities.
• Operate in sectors covered by Close Brothers’ industry teams and case studies, such as services, manufacturing or recruitment.

Again, exact segment focus is subject to change and is best confirmed via a current lender discussion.

5. How to apply

Applying to Bibby Financial Services

Bibby’s "Contact us" page provides the main route for enquiries, listing telephone numbers and an online contact form where prospective clients can outline their funding needs, as seen on its contact page. The invoice finance product pages typically invite businesses to request a quote or call Bibby for more details, though they do not present a fully self service digital application journey with instant decisions.

Based on Bibby’s explanations of invoice finance eligibility and general industry practice, a typical application journey will involve:

• An initial conversation to understand the business, sector, turnover and debtor profile, which Bibby hints at in its article on qualifying for invoice finance on its eligibility article.
• Provision of recent management accounts, filed accounts, aged debtor and creditor listings and sample invoices, consistent with the documentation usually requested for invoice finance and referenced in industry guides such as UK Finance’s framework.
• Credit and risk assessment by Bibby, including checks on directors and key customers.
• Issuance of heads of terms and, if accepted, a full facility agreement and accompanying general conditions, such as general conditions for non recourse facilities, which set out the detailed obligations.

Time from initial enquiry to drawdown varies with deal complexity, sector and whether additional security such as debentures or personal guarantees are required.

Applying to Close Brothers Invoice Finance

Close Brothers Invoice Finance encourages prospective clients to get in touch via enquiry forms and phone numbers on its product pages. For example, the invoice finance and asset based lending pages offer enquiry options and emphasise that solutions are tailored, as shown on its invoice finance product page and its ABL page.

A typical Close Brothers application journey will likely include:

• An initial discussion with a regional or sector specific sales manager to clarify funding requirements and business background.
• Submission of financial information such as recent accounts, management accounts and debtor listings to support credit assessment, in line with industry norms for ABL and invoice finance described in UK Finance’s framework.
• Field examinations or collateral reviews for larger or more complex asset based lending structures, which are described generically in asset based lending documentation and marketing materials.
• Issuance of a facility offer setting out advance rates, covenants and pricing, followed by legal documentation.

Close Brothers does not advertise a standardised digital application form for instant approval in the way some fintech lenders do, reflecting its focus on relationship led, often higher value facilities.

6. Final verdict

Comparing Bibby Financial Services and Close Brothers Invoice Finance

Both Bibby Financial Services and Close Brothers Invoice Finance are established players in the UK invoice finance and asset based lending market, with broadly similar core products, namely invoice discounting, invoice factoring, optional bad debt protection and in some cases asset based lending. Both are referenced in UK Finance’s materials on the sector, and both highlight relationship management and tailored structures rather than fixed online tariffs.

Where they most clearly differ is in branding and emphasis. Bibby positions itself as an independent SME focused invoice finance specialist with a strong narrative around cash flow support and bad debt protection; Close Brothers Invoice Finance presents itself as part of a larger merchant banking group offering structured asset based lending and invoice finance often associated with larger, more complex clients. Public information also suggests that Close Brothers tends to target somewhat higher turnover businesses on average, while Bibby’s marketing and SME research highlight a broad SME base.

Since neither lender publishes standardised pricing grids, minimum turnover thresholds or guaranteed approval times for every product, any choice between them should be made based on a live conversation about your specific turnover, debtor profile, sector and growth plans, ideally comparing multiple indicative offers side by side.

Choose Bibby Financial Services if:

• You are an SME with recurring B2B invoices and want a specialist independent provider
• Bad Debt Protection integrated with invoice finance is important for managing customer insolvency risk
• You value SME focused research, content and potentially more flexibility around smaller facilities, subject to eligibility
• You are comfortable engaging via relationship managers and tailored facility documentation rather than a fully online process

Choose Close Brothers Invoice Finance if:

• Your business has higher turnover or more complex funding needs that may require asset based lending
• You prefer working with a bank group that combines invoice finance, ABL and bad debt protection
• You operate in sectors where Close Brothers has dedicated industry teams and case studies, such as services, manufacturing or recruitment
• You are prepared for detailed due diligence and potentially more structured covenants in exchange for larger, multi asset facilities

7. Sources

• Bibby Financial Services invoice finance products overview
• Bibby Financial Services invoice finance product page
• Bibby Financial Services main site
• Bibby Financial Services bad debt protection product page
• Bibby Financial Services, do you qualify for invoice finance article
• Bibby Financial Services knowledge hub
• Bibby Financial Services, Our Service Promise PDF
• Bibby Financial Services non recourse general conditions
• Bibby Financial Services written evidence to Parliament
• Bibby Financial Services contact page
• Close Brothers Group, invoice finance overview
• Close Brothers Invoice Finance, invoice finance product page
• Close Brothers Invoice Finance, invoice discounting product page
• Close Brothers Invoice Finance, invoice factoring product page
• Close Brothers Invoice Finance, asset based lending product page
• Close Brothers Invoice Finance, bad debt protection product page
• Close Brothers Invoice Finance, business services industry page
• Close Brothers Invoice Finance complaints page
• Close Brothers complaints procedure PDF
• Close Brothers Group Growth Guarantee Scheme page
• UK Finance, invoice finance and asset based lending overview
• UK Finance, invoice finance and asset based lending standards framework
• Hello Aria, top invoice financing providers comparison (2026)