Banking & Payments Federation Ireland report shows over €1.2bn in funding via invoice finance

Bibby Financial Services Ireland, a committed member of Banking & Payments Federation Ireland (BPFI), welcomes the latest industry data highlighting the continued importance of invoice finance in supporting businesses across Ireland.

We work closely with SMEs and mid-sized companies that rely on flexible working capital to manage cashflow and fund growth. These latest figures reflect what we’re seeing in the market every day steady demand for funding solutions that help businesses stay in control of their cashflow, even as trading conditions evolve.

We are Ireland’s leading independent provider of invoice finance, and the newly released BPFI data reinforces the role this funding plays in giving businesses certainty and flexibility as they grow. We’re pleased to share the full BPFI press release below, which outlines the latest trends shaping the Irish invoice finance market.

• Invoice finance is a working capital or revolving credit facility, used by both SMEs and larger businesses, to release cash tied up in outstanding customer invoices
• New BPFI data highlights steady demand for invoice finance with funds advanced by lenders to businesses increased by 8.4% year on year in Q3 2025, despite slight decline in number of firms availing of these facilities

Banking & Payments Federation Ireland (BPFI) has published new figures showing that more than €1.2 billion was advanced to Irish businesses through invoice finance at the end of Q4 2025, an increase of 1.6% year on year. This growth came despite a decline in the number of firms using these facilities, which fell by 3.3% to 1,351 businesses.

Invoice finance is a working capital facility used by SMEs and larger companies to unlock cash tied up in unpaid customer invoices. 

The following are the key figures from the report

• Funds advanced: Over €1.2 billion advanced to businesses, up 1.6% year on year
• Funds available: Nearly €3.0 billion available to businesses, up 9.5% year on year
• Average funding per client : Increased slightly to more than €0.9 million per business
• Client sales: Total quarterly sales reached over €11.6 billion, up 3.0% year on year
• Average number of debtor days: The average number of debtor days outstanding rose from 40 to 42 days.

What this tells us about the market

The latest data points to a market where:

• Businesses continue to grow sales, supporting demand for funding
• Payment cycles are lengthening slightly, putting pressure on cashflow
• Companies are maintaining access to funding, even if fewer are using it

Together, this reinforces the role of invoice finance as a practical tool to help businesses manage working capital and keep trading smoothly.

Commenting on today’s figures, Brian Hayes, Chief Executive, BPFI said: “More than €1.2 billion was advanced by participating lenders to client businesses through invoice finance in Q4 2025, an increase of 1.6% year on year. At the same time, the total funds available to businesses rose by 9.5%, reaching almost €3.0 billion, pointing to continued demand for this type of finance. Our members are seeing take-up across a broad range of sectors, particularly manufacturing, agriculture, transport and logistics, services and recruitment.”

“Average funds advanced per client business also increased slightly, from less than €0.9 million to more than €0.9 million at the end of December 2025. It is also worth noting that total client sales increased by 3.0% year on year to almost €11.7 billion in Q4 2025. As the sales ledger is used to secure access to funds, business growth can in turn support greater availability of finance. At the same time, the rise in debtor days, from an average of 40 to 42 days year on year, may increase demand for working capital support.” 

 “These latest figures highlight the continued importance of invoice finance as a source of working capital for SMEs and larger companies across the Irish economy. By enabling firms to release funds tied up in unpaid invoices, it can play a valuable role in supporting cash flow, liquidity and growth.”