Bibby Financial Services review: invoice finance and asset finance for SMEs

Bibby Financial Services is one of the UK's best known invoice finance specialists, offering factoring and invoice discounting alongside asset finance and trade finance for small and medium sized businesses. It is part of the family owned Bibby Line Group. Bibby Financial Services is one of the lenders on our panel, and we can compare its facility with other banks and specialists so you see the full picture.

01About Bibby Financial Services

Bibby Financial Services began in Liverpool in 1982 as a factoring business within Bibby Line Group, a family owned group established in 1807. It became a wholly owned subsidiary under the Bibby Financial Services name in 1985. The company says it funds more than 8,500 businesses across over 300 industry sectors, and it operates in the UK and several other countries in Europe and Asia.

It describes itself as one of the UK's largest independent funding providers and states its purpose as helping SMEs grow and thrive. Its registered office is in Liverpool.

02What Bibby Financial Services funds

Bibby's example facilities run from around £100,000 to several million pounds, and its sector examples include transport and logistics, manufacturing, wholesale, packaging and recruitment. The asset finance side covers vehicles, plant and machinery as well as soft assets such as IT, software, AV equipment, cleaning kit and scaffolding. It also offers refinancing to release cash from assets you already own; see our asset refinance guide.

03Who Bibby suits (and who it may not)

Bibby is likely to suit:

• SMEs that invoice other businesses on credit terms and want a facility that grows with sales.
• Construction subcontractors with stage payments, a sector many invoice financiers avoid. Our construction invoice finance guide explains the issues.
• Recruitment agencies funding weekly temp payrolls; see our recruitment finance page.
• Businesses that would like invoice finance, asset finance and FX from one provider.

It may be less suitable if:

• You only need to fund the odd invoice. A selective, single invoice product may be simpler.
• You sell mainly to consumers or take card payments, which invoice finance does not cover.
• You want a short, unsecured loan rather than an ongoing facility.

04What Bibby looks at

Bibby does not publish a checklist for invoice finance; it asks businesses to speak to its team. Typically, an invoice finance provider will review:

• Your aged debtor and creditor reports, and how concentrated your sales are with a few customers.
• Your terms of trade, contracts and how disputes or credit notes are handled.
• Filed accounts, management accounts and recent bank statements.
• Existing lenders with security over the business, as the provider will want a charge over the debts.
• Director details, as personal guarantees or indemnities are common on invoice facilities.

For asset finance, expect to provide supplier quotes and asset details alongside your accounts.

05Pros and cons

Pros

• Long track record in invoice finance, dating back to 1982.
• Both factoring and confidential discounting, with optional bad debt protection.
• Specialist appetite for construction and recruitment.
• Asset finance, trade finance and FX available from the same provider.

Cons

• Whole ledger facilities usually involve minimum terms and notice periods, so read the contract carefully.
• Factoring means Bibby contacts your customers, which not every business wants.
• Not designed for consumer facing businesses.
• Other providers may offer more for very small or very large facilities.

Bibby does not publish a checklist for invoice finance; it asks businesses to speak to its team.

06Applying through a broker vs going direct

With invoice finance, the contract detail matters as much as the headline: advance level, concentration limits, notice period, minimum fees and how disputed invoices are treated. These vary widely between providers. We search the market, compare banks and specialists like Bibby on those points, and present your debtor book clearly so underwriters see the strengths. It is free to enquire; any broker fee is disclosed separately before you proceed.

Use our Instant Quotes tool to compare lenders in minutes. Smart Funding Solutions is an independent broker and is not part of Bibby Financial Services. For background, see Bibby's own website.

07Alternatives to Bibby Financial Services

• Ultimate Finance offers invoice finance as well as asset finance, and is worth comparing on facility structure.
• Skipton Business Finance is another invoice finance specialist, worth comparing on advance levels and contract terms.
• Barclays invoice finance may suit larger businesses that want a bank provider.

Unsure which structure you need? Our guide to invoice factoring explains how it compares with discounting.