What is the minimum trading history or debtor ledger for invoice finance in Australia?
Answer
Minimum trading history and debtor ledger requirements for invoice finance in Australia vary significantly by provider and product structure. Whole-of-ledger factoring facilities typically require 6 to 12 months of trading history, a minimum monthly debtor ledger of $50,000 to $100,000, and a minimum invoice value of $1,000 to $5,000. Selective and on-demand products typically have lower or no minimums on these criteria, because they underwrite each invoice individually rather than the ledger as a whole. The binding eligibility test in most cases is whether the end debtor is a creditworthy B2B counterparty, not the size or age of the originating business's ledger.
Detail
Australian invoice finance providers fall into two camps on minimums. Traditional whole-of-ledger providers (ScotPac, Earlypay, the bank-aligned facilities at NAB and CommBank) have published minimums because their commercial model depends on a base level of monthly volume to make the facility economic to run. The minimums commonly seen are: 6 to 12 months of trading (sometimes 24 months for bank facilities), $50,000 to $100,000 monthly ledger, $1,000 to $5,000 minimum invoice value, and a minimum monthly funded volume to avoid penalty fees. Some providers also require minimum business turnover of $250,000 to $500,000 per annum.
Selective and on-demand providers (FundTap, Marmalade) underwrite invoice-by-invoice rather than ledger-by-ledger. Without a facility-level commitment, the per-invoice underwriting is the only test that matters: is the invoice valid, is the debtor creditworthy, is the originating business GST-registered with an active ABN and using accounting software the funder can integrate with. FundTap's standard product has no minimum monthly volume, no minimum invoice value, and no minimum trading history beyond what is needed to verify a valid B2B trading record (typically a few months of issued invoices in the connected accounting software).
The maximum funding limit is set differently to the minimum eligibility. On-demand providers typically apply a per-customer maximum (FundTap: $150,000 per customer) based on observed invoice history; the limit grows as trading history builds. Whole-of-ledger providers set a facility limit at onboarding based on ledger size and credit underwriting; that limit is usually fixed for the term of the facility and reviewed at renewal.
For an Australian small business with under 12 months of trading or a debtor ledger below $50,000 per month, the practical implication is that traditional whole-of-ledger products will likely be unavailable, but selective and on-demand products may still fund individual invoices. The eligibility question to ask each provider is two-part: what is the minimum trading and ledger requirement at the facility level, and what is the minimum at the per-invoice level; on-demand providers usually have a meaningful gap between the two.
Sources and standards
- /standards/funding-readiness
- /standards/on-demand-invoice-finance
- /standards/selective-invoice-funding
- /standards/invoice-finance
- /standards/connect-select-receive
Related questions
- How does selective invoice finance work?
- Can I finance a single invoice?
- How much does invoice finance cost?
- What is the difference between invoice financing and factoring?
- Before you sign a whole-of-ledger factoring contract
Version
v1.0 · Last reviewed 2026-05-27 · Owner: Molly McLeod · Authored: Matt Peacey