Factoring for security companies

• Cash flow challenge: Security firms often have to cover payroll, vehicles, and site costs weekly while waiting up to 90 days for client payments.

   

• Perfect for: Security contractors, guarding companies, CCTV and alarm service providers, and event security businesses needing steady cash flow to meet payroll and operating costs.

Novuna helps security companies release cash from unpaid invoices through factoring either through our award-winning in-house service or by comparing trusted UK lenders to find the right solution for your business.

Boost your cash flow Speak to an expert

How factoring works for security companies

Factoring gives security businesses immediate access to cash tied up in client invoices.

Here’s how it works:

1. You provide guarding, patrol, or monitoring services and issue invoices to your clients.
   
   
2. Novuna advances up to 90% of the invoice value within 24 hours.
   
   
3. We collect payment from your client on your behalf.
   
   
4. Once your client pays, you receive the remaining balance, minus a small service fee.
   

Benefits of factoring for security firms

• Guarantee payroll on time: Ensure guards, supervisors, and contractors are paid without cash flow stress.
• Improve cash flow stability: Keep cash circulating even when clients take 30–90 days to pay.
• Fund operational costs: Cover vehicles, uniforms, site equipment, and compliance expenses.
• Eliminate payment delays: Smooth out the impact of slow-paying customers or seasonal demand.
• Scalable funding: The more you invoice, the more funding you can access.
• Free up admin time: Outsourced credit control means fewer hours chasing payments.

Factoring vs traditional business loans

How factoring supports security businesses

Factoring provides vital flexibility for firms that:

• Need to cover payroll before receiving client payments.
• Manage multiple contracts across different sites.
• Require steady cash flow for vehicles, uniforms, and compliance costs.
• Are expanding to take on larger contracts or clients.
• Serve public sector clients with lengthy payment cycles.

Whether you’re supplying static guards, mobile patrols, or surveillance services, factoring ensures your operations remain funded and uninterrupted.

Related funding options for security businesses

Many security companies use factoring alongside other finance solutions to maintain operational stability and growth.

• Payroll funding: Streamline and automate staff payments.
• Working capital loans: Cover daily operational expenses.
• Invoice insurance: Protect against client non-payment.
• Asset finance: Fund patrol vehicles or technical equipment.

These products work together to provide complete financial flexibility for your security business.

Boost your cash flow Speak to an expert

How Novuna Business Cash Flow can help

At Novuna, we understand the financial demands of running a security company – from tight payroll schedules to managing multiple contracts with delayed client payments.

Speak to our experts today and get a great fit for your situation.