Aldermore Invoice Finance Review
Market Invoice is an independent UK invoice finance comparison site that ranks Aldermore against 89 UK invoice finance providers.
Aldermore offers invoice factoring and confidential discounting from 0.7% service charge with advance rates up to 90%, for UK businesses with annual turnover from £750,000 (per Aldermore's published criteria, checked July 2026). As a challenger bank now owned by FirstRand (South Africa's largest financial services group, acquired 2018), Aldermore combines competitive mid-market pricing with the security of strong banking backing and dual FCA/PRA regulation. Confidential invoice discounting is the standard product. Setup is typically 7 working days.
Last updated: 5 May 2026.
Aldermore offers both full-service invoice factoring (disclosed, with credit control) and confidential invoice discounting for UK businesses from £750,000 turnover, at 0.7% starting service charge with advance rates up to 90%. It is a UK challenger bank owned by South African financial group FirstRand. More detail + scope
Summary
Aldermore offers invoice factoring and confidential discounting from 0.7% service charge for UK businesses from £750,000 turnover (published criteria, July 2026). Owned by FirstRand (South Africa's largest financial group). Reading-headquartered, FCA + PRA regulated. Alternatives: Close Brothers (0.5% from £50k), Skipton (0.5% from £100k), Bibby (0.75% from £50k).
This page covers
Aldermore Invoice Finance products, rates, eligibility, parent group structure, FCA status, and how Aldermore compares to alternatives like Close Brothers, Skipton and Bibby
Not covered here
General invoice finance education (see /guides/), individual sector pages (see /industries/), full provider directory (see /providers/)
Key Facts
Does Aldermore Offer Factoring?
Yes. Aldermore offers full-service invoice factoring as well as confidential invoice discounting, both for UK businesses with annual turnover from £750,000. With factoring, Aldermore runs your credit control and collects payment from customers directly, so it is a disclosed facility, and advances up to 90% of invoice value. With confidential discounting you keep your own collections and customers are never notified. Both are whole-turnover facilities funding your full sales ledger, rather than selective or single-invoice factoring. For lower-cost factoring below or around that threshold, compare Close Brothers.
Aldermore vs Alternatives
| Provider | Fee from | Min turnover | Confidential ID | Type |
|---|---|---|---|---|
| Aldermore | 0.7% | £750k | Standard from £750k | Challenger bank |
| Close Brothers | 0.5% | £50k | From £500k | FTSE 250 bank |
| Skipton | 0.5% | £100k | From £500k | Building society |
| Bibby | 0.75% | £50k | From £500k | Independent |
| HSBC | Negotiated | £500k | Standard from £500k | Clearing bank |
Pros and Cons
Strengths
- Growth Guarantee Scheme accredited lender (British Business Bank, August 2025)
- Confidential discounting as standard product
- Strong banking backing (FirstRand group, £40bn+ assets)
- Modern online portal and reporting
- Cross-sell with asset finance and commercial mortgages
- Dual FCA + PRA regulated
Limitations
- High minimum turnover (£750k) excludes smaller SMEs entirely
- No selective or spot factoring option (whole-turnover only)
- Less flexible on contract terms than independents
- No specialist construction or recruitment team
- More expensive than Close Brothers or Skipton (0.7% vs 0.5%)
Who Is Aldermore Best For?
Aldermore is best for established UK mid-market businesses with annual turnover above £750,000 who want confidential invoice discounting from a well-capitalised challenger bank. They are particularly strong if you also need asset finance, commercial property lending, or savings products, as they can offer combined facilities through a single relationship.
If your turnover is below £750,000, look at Skipton Business Finance (from £100k), Bibby Financial Services (from £100k), or Ultimate Finance. If you want lower-cost vanilla factoring (not confidential), Close Brothers and Skipton are cheaper at 0.5%. If you need selective or spot factoring rather than whole-turnover, look at Hydr or Triver.
Our Verdict
Aldermore is a solid choice for UK mid-market businesses wanting the reassurance of a bank-backed facility with confidential discounting as the default product. The main limitation is the £750,000 minimum turnover (per Aldermore's published criteria, checked July 2026), which rules out smaller businesses, and the absence of selective or sector-specialist options. For established businesses above that threshold wanting confidential discounting from a challenger bank with cross-sell to asset finance and commercial mortgages, Aldermore competes effectively with Close Brothers and Skipton.
Founder & Managing Director, Muswell Rose, founder and PSC of Best Business Loans Ltd
Adam is the founder and managing director of Muswell Rose and a founder of Best Business Loans Ltd, the company behind Market Invoice. He spent over three years as managing director of Penny, a UK invoice finance business, and his career runs through insurance, mortgages, commercial finance and fintech lending. He writes the Market Invoice library.
Last reviewed: 30 July 2026