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Construction invoice finance |

Product Features
High operating costs and long payment cycles wreaking havoc on your firm's cash flow?

With Penny's construction invoice finance, you can access the funds locked in your outstanding invoices in just 24 working hours.

Open a free account, submit your outstanding invoice and receive full payment the next working day.
Construction factoring

 £500 - £200k invoices funded. Payment terms up to 90 days accepted.

Invoice collection services

Customer invoice payments managed and collected by Penny on your behalf.

Cash flow peace of mind

Unsecured solution. Funds deposited via Open Banking within 24hrs.


Penny's approach to construction finance

Whether you trade on 30, 60 or 90-day payment terms, Penny's construction finance quickly unlocks working capital to costly operating expenses. 


Our construction factoring solution is a model of selective invoice finance.


Unlike full-book construction facilities that require you to raise your entire sales ledger, Penny offers a flexible account that can be used on-demand. 

No ongoing commitments. Open a free Penny account, select single or multiple invoices for financing and take on new construction projects with cash flow confidence.

Construction businesses

Commercial contractors and specialist subcontractors, civil engineering firms, construction management companies, material and equipment suppliers

HMRC registered

Limited companies and sole traders based in England or Wales, invoicing limited companies, local authorities or government departments in England or Wales

B2B transactions

Outstanding invoices for delivered goods / completed work up to 75% through terms (submitted invoices cannot be overdue)

What is construction invoice finance?

Lengthy payment terms are inherent to the construction industry's complex nature, particularly in large commercial projects. 

Construction invoice finance, also known as construction factoring, is a smart financial solution designed to mitigate common challenges faced in this sector. 

With this type of invoice finance, construction companies can pay a processing fee to access the total value of their invoice(s) the next working day. 

How does construction invoice finance work?

Developed for simplicity, our construction invoice finance solution aims to provide financial stability for contractors and subcontractors.  

Instead of financing your complete debtor book, you can open a free Penny account and flexibly factor selected Final Payment Invoices upon project completion.


Submit invoice

Upload an invoice for construction factoring through your account portal


Track status

Penny contacts your customer to validate the submitted invoice details


Withdrawal confirmed

Invoice is verified and a no-obligation quote with processing fee is offered


Get paid

Accept the fee and receive the total invoice value* within 24 working hours

*Total invoice value minus Penny's processing fee. Average fee on a 30-day invoice is 5.1% +VAT.

Discover the benefits of financing construction invoices through Penny 

Protect assets

Keep valuable company assets safe. No collateral, personal guarantees debentures or property security required.

Eliminate delays

Construction projects are often subject to significant delays. Penny bridges these gaps by providing funds before your debtor pays.

Bid on larger projects

With improved cash flow and financial stability, your construction company can expand its portfolio and win larger, more lucrative projects. 

Strengthen business relationships

Avoid invoice delays and ensure timely payments for employees and suppliers, fostering strong, long-term industry relationships.

Mitigate seasonal fluctuations

With a reliable cash flow, you can prepare for upcoming peak seasons and manage off-peak periods ahead of time.

Improve project cash flow forecasts

Maintain a healthy cash flow, reduce complex supply chain threats and handle construction contract budgeting with ease.


Find out if Penny's construction factoring is right for your business:


  • What types of businesses can use Penny?
    Sole Traders and Limited Companies registered in England and Wales.
  • Are my invoices eligible for financing?
    Your invoices could be eligible for financing if they meet the below criteria: B2B invoices for completed work and/or delivered goods Minimum invoice value of £500 Maximum invoice value of £200,000
  • Do you require accounts/bank statements?
    No, unlike the majority of other UK lenders, we do not ask for business account records or bank statements. Our model of invoice finance utilises technology to provide fast funding, and all we need from you is: Submitted invoice Debtor contact details (email or mobile) to verify the submitted invoice
  • What is the difference between a Penny and Penny Plus account?
    A Penny account is a free member profile that gives you complete access to our selective invoice finance product. You can register your profile online in just a couple of minutes, and after completing Identity Verification, you can begin submitting invoices for funding straight away. Penny Plus will become our paid monthly subscription service, however this is still under development and not currently available.
  • What is invoice finance?
    Invoice finance is an umbrella term for funding that enables businesses to borrow money against the amounts due from their customers. Lenders offering this model of finance advance a percentage of the requested invoice value, in return for a small fee. The main types of invoice finance include invoice factoring, invoice discounting and selective invoice finance.
  • How does invoice financing work with Penny?
    Penny offers selective invoice finance, driven by technology. Unlike traditional models of financing, our UK spot factoring solution offers businesses a streamlined experience without requiring long-term commitments or lengthy paperwork. Penny is unique in that it has been developed for inclusivity, helping traditionally underserved business types (sole traders, micro-businesses etc.) accelerate cash flow with payment terms that benefit their growth. With flexibility at the core, we give businesses a centralised platform to select and advance invoices with ease. Leveraging technology, we provide real time data so that Penny users can check the status of their invoices at any time, providing decisions in under three hours. Once the invoice details have been verified, Penny pays 100% of the invoice value into the registered business bank account, minus a small fee.
  • Who can I invoice with Penny?
    Penny advances B2B invoices to Limited Companies. In some circumstances we may be able to consider other business entities, please contact us to discuss your needs.
  • Can I retain credit control for submitted invoices?
    At Penny, we take responsibility for collecting payment from your customers. Relinquishing credit control enables you to receive the total invoice value upfront, and reduces time spent within your business on payment processes.
  • What happens if I have already invoiced a client myself?
    You will need to raise a new invoice through Penny. After setting up your account, your account manager will advise you on how to credit note the original invoice with your debtor.
  • Can I use Penny to pay my bills? (Also known as reverse invoice financing)
    No, we only facilitate forward invoice financing on goods / services supplied.
  • What contact information do you need for my customer?
    When you are completing your customer's details, it is best to provide contact details of a member of the accounts team if possible, rather than a generic accounts email address. This expedites validation of the invoice, so you get paid faster.
  • Can I invoice my own company, or a company within my group?
    No, you can not have any business interest in the company you are invoicing.
  • What is the Penny Quick Quote tool?
    Our Quick Quote tool is featured within your account dashboard under 'Get Started'. To use it, simply enter your customer's company name and we'll run a couple of quick checks to confirm whether they're eligible. Bear in mind that Penny's algorithm looks at the most recent data available, so even if we can't offer invoice factoring on an invoice for a particular company today, that could change in the future.
  • I got an approval with Penny Quick Quote, however my invoice has been rejected, why?
    The Penny Quick Quote tool only considers the invoice amount and the debtor (the company paying the invoice). However real-time decisions also look at other factors, including the terms and nature of the invoice. Please get in touch with a member from our client support team for more details.
  • My invoice has been approved, what happens next?
    Once Penny has approved your invoice and it has been issued to your customer, a member of our team will quickly get in touch with them to validate the invoice and get your funds advanced. The wide majority of transactions are validated in under 3 hours, and paid out within 24 working hours.

Explore frequently asked questions about construction invoice finance:


Test out Penny's UK construction finance solution today, it's free 

£500 - £200K transactions

Invoice collection support

No-obligation quotes

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