Invoice discounting and factoring is a method of being able to finance your working capital requirements by utilising the asset of your debtor book, i.e. funds owed to the business. Factoring and invoice discounting is now widely used and indeed accepted as a viable alternative to the traditional overdraft facility. Some 30,000 businesses across the UK use factoring and invoice discounting, with some £8 billion currently being advanced in the market. For businesses that are expanding, a factoring or invoice discounting facility can be an ideal way to fund the growth, possibly preventing the need for further capital injections.