Factoring for consulting firms

• Cash flow challenge: Consulting firms facing long client billing cycles, delayed payments, and project-based income.

• Perfect for: Management consultancies, IT consultants, business advisors, and professional service firms that invoice clients on extended terms or milestone payments.

Novuna helps consulting firms unlock cash tied up in unpaid invoices through tailored factoring solutions, either through our award-winning in-house service or by comparing providers and making sure you have a great deal for your situation.

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Improve cash flow for your consultancy with flexible factoring

Factoring allows your firm to sell outstanding client invoices to a finance provider for an immediate cash advance. Instead of waiting 30, 60, or 90 days for clients to pay, you can access most of the invoice value (typically up to 90%) within 24-48 hours.

This funding can be used to:

• Cover payroll and operating expenses.

• Pay subcontractors or suppliers on time.

• Fund new projects or client acquisition.

• Manage growth without drawing on reserves or overdrafts.

For many consultancy businesses, factoring provides a smoother, more predictable cash flow while keeping control over client relationships.

How factoring supports consulting businesses

• Smooth cash flow gaps between project delivery and invoice settlement.

• Free up working capital to invest in staff training or new clients.

• Avoid reliance on short-term borrowing or overdrafts.

• Protect client relationships with optional confidential facilities (invoice discounting).

• Scale with confidence, as your facility grows in line with your invoicing.

Benefits of factoring for consulting firms

• Immediate access to funds: Receive up to 90% of invoice value quickly.

• Flexible cash flow: Keep operations running smoothly during long client payment terms.

• Reduced admin: Factoring providers manage collections and reconciliation for you.

• Growth-friendly: Facilities scale as your turnover and invoice volume increase.

• Confidential options available: Use invoice discounting to maintain complete client discretion.

Boost your cash flow Speak to an expert

How factoring works

1. You issue an invoice for completed consultancy services.
   
   

2. You sell that invoice to a factoring provider.
   
   

3. Receive up to 90% of the value within 24-48 hours.
   
   

4. Provider collects payment directly from your client (or you, with confidential facilities).
   
   

5. Remaining balance released to you once payment is received, minus agreed fees.

Related funding solutions for consulting firms

• Invoice finance: Access working capital across your full client ledger while maintaining control of collections. Ideal for established consultancies.

• Invoice discounting: Keep client relationships confidential while improving liquidity behind the scenes.

• Asset-based lending: Combine invoice finance with funding secured against business assets such as receivables or property.

• Working capital loans: Cover short-term operational costs or project expenses with a flexible, fixed-term facility.

• Supply chain finance: Improve supplier relationships and ensure timely payment across your network.

How Novuna Business Cash Flow can help

We’ve helped consultancies across the UK access reliable, fast-working capital through tailored factoring facilities.

Speak to our experts today and we will help you find a great fit for your situation.