Accounts Receivable Financing Market Report 2026

The accounts receivable financing market size has grown rapidly in recent years. It will grow from $164.06 billion in 2025 to $182.63 billion in 2026 at a compound annual growth rate (CAGR) of 11.3%. The growth in the historic period can be attributed to rising demand for short-term working capital, increased adoption of invoice-based financing, expansion of SME financing solutions, growing trade credit usage, increased participation of private lenders.

The accounts receivable financing market size is expected to see rapid growth in the next few years. It will grow to $277.68 billion in 2030 at a compound annual growth rate (CAGR) of 11%. The growth in the forecast period can be attributed to increasing use of ai-driven credit analytics, rising demand for faster funding cycles, expansion of cross-border receivables financing, growing integration of financing platforms with erp systems, increasing regulatory support for alternative financing. Major trends in the forecast period include increasing adoption of digital invoice financing platforms, rising use of automated credit risk assessment tools, growing preference for flexible working capital solutions, expansion of non-bank and alternative lending models, enhanced focus on cash flow optimization.

The rise in entrepreneurial activity is expected to drive the growth of the accounts receivable financing market in the coming years. Entrepreneurial activity involves recognizing business opportunities, assuming risks, and coordinating resources to establish and expand new ventures. Such activity has been increasing as advances in digital technologies have reduced entry barriers, allowing individuals to start and operate businesses more easily through online platforms, access global markets, and utilize essential tools and resources at relatively low cost. Accounts receivable financing supports entrepreneurs by converting outstanding invoices into immediate cash, helping them cover operating expenses and reinvest in business expansion without depending on conventional lending options. For example, in April 2025, data from the Office for National Statistics, a UK-based government agency, showed that in the first quarter of 2025, 89,515 new businesses were added to the UK’s Inter-Departmental Business Register (IDBR), representing a 2.8% increase compared with the same period in 2024. New business formation increased across 12 of the 16 major industrial sectors, with the retail sector recording the strongest growth. As a result, the growing level of entrepreneurial activity is contributing to the expansion of the accounts receivable financing market.

Leading companies in the accounts receivable financing market are emphasizing the development of advanced solutions such as integrated digital bill discounting platforms to speed up cash conversion, enhance transparency, and minimize operational risks. Integrated digital bill discounting platforms are digital systems that allow businesses to unlock the value of receivables through a fully automated, end-to-end process, replacing conventional paper-based Bills of Exchange with seamless digital workflows. For example, in October 2024, Citigroup Inc., a US-based financial services company, launched Citi Digital Bill (CDB), a platform aimed at enabling businesses to rapidly convert receivables into cash while efficiently managing invoice approvals and credit exposure. The platform enables sellers, buyers, and the bank to digitally sign, accept, endorse, and finance receivables, thereby removing delays associated with manual documentation. Additionally, it offers real-time visibility into transaction progress, improves risk alignment with partner banks, and integrates with Citi’s proprietary receivables finance system, CitiDirect, supporting faster, data-driven decisions and enhanced financial stability.

In August 2024, VersaBank, a Canada-based digital banking institution, acquired Stearns Bank Holdingford N.A. (SBH) for an undisclosed sum. Through this acquisition, VersaBank intends to introduce and expand its innovative Receivable Purchase Program (RPP) in the U.S. market, delivering advanced accounts receivable financing solutions to point-of-sale finance companies. Stearns Bank Holdingford N.A. (SBH) is a U.S.-based financial institution specializing in commercial banking, small business lending, SBA loan programs, and fintech banking partnerships.

Major companies operating in the accounts receivable financing market are Bibby Financial Services Limited, eCapital Corporation, Lendio Corporation, Triumph Business Capital LLC, Taulia Inc., JD Factors Ltd., Drip Capital, Riviera Finance LLC, PrimeRevenue Inc., 1West Capital Partners LLC, Fundera Inc., Accord Financial LLC, Porter Capital Corporation, Breakout Capital Finance Inc., ExpoCredit Trade Services Pvt. Ltd., KredX Technologies Private Limited, Capital Plus Financial LLC, Commercial Funding Inc., FundThrough Inc., State Financial Services LLC, 1st Commercial Credit Inc., Universal Funding Corporation.

North America was the largest region in the accounts receivable financing market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the accounts receivable financing market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the accounts receivable financing market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The accounts receivable financing market includes revenues earned by entities by providing services, such as custom financing structuring, credit risk assessment, invoice factoring, invoice discounting, and asset-based lending. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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