Invoice Finance for Care & Nursing Agencies

If you run a domiciliary care agency, nursing staffing agency, or home care provider, you know the cash flow problem intimately. Carers and nurses are paid weekly. Local authority councils and NHS trusts pay monthly — often 45-60 days after your invoice. That gap can be £20,000-£100,000+ depending on your size. Invoice finance closes it by advancing 85-95% of each timesheet or invoice within 24 hours of submission.

How It Works for Care

Care agency factoring works identically to recruitment factoring — because it IS recruitment factoring, just in the care sector. You submit timesheets showing hours worked by your care staff. The provider advances 85-95% of the invoice value. You use the advance to run payroll. When the council or NHS trust pays (eventually), the provider takes their fee and releases the balance.

The fact that your end clients are councils and NHS trusts is actually a huge advantage. These are the most creditworthy customers possible — local government and the NHS don't go bust. Providers love financing care agency invoices because the default risk is essentially zero. This means you get better rates than many other sectors.

The Care Sector Advantage

Things Specific to Care

• CQC registration. Providers may check your CQC status. A "Good" or "Outstanding" rating helps. "Requires Improvement" doesn't necessarily prevent approval but may reduce advance rates.
• Framework agreements. If you're on a local authority framework, share this with the provider. It demonstrates committed, ongoing work and practically guarantees future invoices.
• Payroll services. Some providers offer PAYE payroll processing as part of the factoring package. For smaller care agencies, this saves hiring a payroll administrator. Bibby's back-office package is popular with care agencies.