£600k invoice finance for a software business outgrowing restrictive funding limits

A fast-growing IT services company was trapped in a selective invoice facility that kept shrinking their access to cash. Here's how Risecap moved them to a lender that actually supported their growth - doubling their facility limit and unlocking more of their invoices.

CLIENT SNAPSHOT

IT services and hardware | £3.5m annual revenue | 20% YoY growth
A technology business selling hardware, software, and managed IT services across the UK and internationally. Strong client retention with a high proportion of repeat business. Four years of consistent revenue growth from £500k to £3.5m.

THE CHALLENGE

The company had a selective invoice discounting facility that was working against them. The lender had cut their limit from £500k down to £350k, then started rejecting more invoices for funding. They applied for whole turnover invoice finance to access their full ledger - and were declined. The lender cited their "complex revenue streams" (mix of products, services, UK and international clients) as too risky, despite a solid payment history.

Worse, the lender had automated their customer service. No relationship, no flexibility, just algorithmic decisions that didn't reflect the business reality.

WHY THEY CAME TO US

• Referred by a fractional CFO we'd worked with for years
• Growing at 20% annually but their funding was shrinking, not growing with them
• Frustrated by poor service and arbitrary invoice rejections
• Needed a lender who understood international and mixed-revenue businesses

They weren't necessarily looking for cheaper rates - they needed access to more of their cash and a facility that scaled with their growth.

OUR APPROACH

We identified the core issue: lenders saw "complex" where they should have seen "diversified and stable." The financials showed reliable payment history, but the presentation wasn't working.

We restructured how the business presented its accounting to show payment patterns clearly across different revenue streams. Then we matched them with a lender who actually specialises in businesses with international clients and mixed revenue models.

THE IMPACT

• £600k confidential invoice finance facility (up from £350k)
• 85% advance rate on approved invoices
• Whole ledger access - no more arbitrary rejections
• Base rate + 3.25% discount fee
• 0.6% service fee on invoice value

The facility nearly doubled their available funding. More importantly, they now get advances on significantly more of their invoices - unlocking cash that was previously stuck. The business continues growing at 20% YoY with funding that actually supports that trajectory.

"I've been working with Tony and his team for a number of months now. Various clients, various solutions needed. Super efficient market knowledge. Delighted."

• Mark, Fractional CFO

TAKEAWAY

Fast-growing businesses often outgrow their first funding partner. The right refinance isn't only about the rates - it's about access, flexibility, and lenders who actually understand your model.

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