GapCap business finance

GapCap specialises in bolstering cash flows for SMEs through invoice financing. It prides itself on fast payment, claiming to deliver same-day funding on more than 99% of requests.

A direct lender (not a broker) authorised and regulated by the Financial Conduct Authority, GapCap was launched in 2014 with the aim of helping to solve common cash flow problems experienced by SMEs.

If your company revenue is dependent on invoices, it’s probably prone to fluctuations. That can make it harder to commit to growth projects or to pay suppliers on time. Invoice finance can help smooth-out an uneven cash flow, ensuring you have the breathing room to focus on what’s important, but it does come at a cost.

Compare tailored invoice financing options from a range of lenders

Finder has teamed up with Funding Options to help SMEs quickly find an invoice financing solution that works for them.

• Unlock the value in your invoices today
• Smooth out an unpredictable cash flow.
• Choose from a range of discounting, factoring and financing options.

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GapCap invoice finance options

GapCap offers three main invoice financing options:

Selective invoice finance

Get access to cash tied up in outstanding invoices without the need for a contract. This option is most suited to businesses that need access to short-term cash flow. It provides ad hoc funding against single or selected invoices.

Key features of selective invoice finance:

• Same-day funding. Get instant access to funds.
• Personal service. You’ll get a dedicated account manager to guide you through the process.
• Smart technology. GapCap’s online platform gives you a live view of which invoices have been paid and how much you’re being charged.
• Flexibility. No contract means you can use the facility as often or as seldom as you need it.

How does it work?

1. Register. Fill in the simple application form on the GapCap website with some information about you and your business, as well as why you need the funds.
2. Get an offer. GapCap aims to give you a decision within 24 hours.
3. Select your debtors. Choose which invoices you would like advances on. Once approved, you will need to change over your bank details to GapCap’s account.
4. Receive payment. Upload the chosen invoices and GapCap will advance you up to 85% of the total.
5. Rebate payment. When your customers pay, GapCap will forward you the remainder of what you are owed, minus its fee.

Am I eligible for selective invoice finance?

This finance option could be right for you if you:

• Are looking to release cash against selected debtors on a flexible basis.
• Are a UK Limited company.
• Have at least 6 months’ trading history.
• Raise your B2B invoices in arrears of your service being provided or goods being delivered.

Flexible invoice discounting

Release funds against your entire sales ledger or a chosen pool of debtors. This option is most suited to SMEs with regular funding needs. It enables you to access advances on a minimum of five debtors.

Key features of flexible invoice discounting:

• Same-day funding. Get instant access to funds.
• Flexibility. Dip in and out of your funding as you need it.
• Easy. Get set-up online quickly with minimal ongoing administration.
• Personal service. You’ll get a dedicated account manager to guide you through the entire process.
• Smart technology. GapCap’s online platform gives you a live view of which invoices have been paid and how much you are being charged.

How does it work?

1. Register. Fill in the simple application form on the GapCap website with some information about you and your business, as well as why you need the funds.
2. Select your debtors. Choose which debtors you want to add to the scheme. GapCap will change over the bank details to your new account.
3. Upload invoices. Put your invoices on the online system to increase your available balance.
4. Draw down funds. Once the invoices are uploaded, you have instant access to cash.

Am I eligible for flexible invoice discounting?

This finance option could be right for you if you:

• Are seeking a flexible working capital facility.
• Are looking to finance at least five B2B debtors or your entire sales ledger.
• Are a UK Limited company.
• Have at least two years of trading history.

Supplier finance

Release funds to improve cash flow and assist working capital for your suppliers. This option could strengthen your supplier relationships and lengthen supplier payment terms.

Key features of supplier finance

• Happy suppliers. Strengthen relationships with your supplier base, taking away the risk from your supply chain and potentially gaining you more competitive pricing.
• Flexibility. Include as many or as few suppliers as you wish. You can turn the facility on and off at your discretion.
• Fast cash flow. Payment within 24 hours of invoice approval.
• No security required. This option can easily sit alongside other financing facilities.
• Cash flow. Improve your working capital with the opportunity to extend payment terms.
• Predictable payments. The supplier is able to easily predict its cash flow.

How does it work?

1. Register. Fill in the simple application form on the GapCap website with some information about you and your business, as well as why you need the funds.
2. Get an offer. GapCap aims to give you a decision within 24 hours.
3. Invoice process. The supplier submits an invoice to you as usual for approval.
4. CapCap makes payment. If approved, GapCap will provide early payment to your supplier.
5. Invoice payment. On the agreed date, you repay GapCap.

Am I eligible for supplier finance?

This could be the right finance option for you if you:

• Are looking to strengthen your supplier relations.
• Are a UK Limited company.
• Have at least two years of trading history.
• Have an annual turnover of at least £1 million.

The fee you are offered by GapCap will depend on factors like the finance option you choose, the performance of your business and its credit rating. It may differ from the advertised fee.

Frequently asked questions

• Do I need to provide additional security against my loan?

  No, the invoices you provide are the security for your cash advance.

• What fee will I be charged by GapCap?

  This will vary depending on your individual business. Always check what you will need to repay before agreeing to a loan.

• How quickly will I get the cash?

  GapCap prides itself on fast payment and aims for same-day funding.

• How do I know which option is best?

  If you’re unsure, you can speak to the GapCap team first to help pin down the right option for your business.