Invoice finance – which allows companies to access early payment in return for a discount in invoice value – is hardly a new concept, but Tim Breedon believes its extension could help to solve entrepreneurs’ cash flow woes. Last week, a Government-commissioned report led by the Legal & General chief executive called for wider use of supply chain finance, whereby large companies offer early payment to their suppliers in return for a small reduction in the value of the invoice. It’s commonly used in retail and construction, with big businesses getting at least as much of the benefit via the increased margins that stem from the discount in invoice value. As Mr Breedon’s report makes clear, the “biggest barrier to increased use is the suspicion that the buyer is merely using it as a method of extending payment terms”. The founders of an “eBay for invoices” site believe they’ve come up with an innovative way of allowing smaller companies to get in on the action from the buyer’s side, while offering suppliers a more competitive and flexible deal than traditional invoice finance.