Invoice Financing.
Invoice financing offers two very important services to a growing business (and even a new start); they can improve their cashflow problems by financing their sales ledger, and can also improve their credit control.
Factoring and Invoice Discounting (known collectively as Invoice Finance), work slightly differently, but both provide the main benefit to the business - speeding up the cashflow and enabling the progression of planned growth.
Factoring arrangements allow the ‘factor’ to collect the client’s money - this means the client’s customers will be aware this service is being used. Although factoring can cost more than invoice discounting it can, in the long run, be more cost-effective as it replaces the need for employing sales ledger and credit control staff.
Another often overlooked benefit of using factoring is mitigating the strong-arm tactics of the larger big businesses who tend to pay on their own terms, not the pre-agreed terms.
Confidential Invoice Discounting sees the supplying business collecting the invoices, which is ideal for those companies that would rather keep the fact they have entered into sales ledger funding away from their customers.
Some key facts:
up to 90% of the invoice(s) value can be paid, sometimes the same day they are issued
export and domestic sales ledgers are accepted
offers great flexibility as a cashflow finance facility
contract lengths start at three months notice period
single debtor sales ledgers accepted
Lifecycle work with most of the top-tier and niche invoice financiers and can address new facilities or switching to a different provider.