INVOICE FINANCE
KNOCK OUT WAIT TIMES WITH OUR INVOICE FINANCING
Invoice finance is a way of financing your business by giving you a % of your outstanding invoices as soon as the goods/service has been delivered as opposed to waiting for your customers to pay. This allows you to then pay your bills (wages, suppler payments etc) before your customer pays you which is often necessary in a growing business.
THERE ARE 4 MAIN VARIATIONS OF INVOICE FINANCE
FACTORING
The lender will not only lend the money but will also carry out credit control and maintain a sales ledger. Debtors are aware of the lender due to the credit control and also a notice of assignment on the invoice.
CONFIDENTIAL INVOICE DISCOUNTING
For more sophisticated businesses where a sales ledger and credit control is already being done competently. This is the lowest touch where administration is completed by the client still.
CHOCS
A hybrid of the above two. This is a disclosed facility but the client is allowed to carry out the credit control.
CONSTRUCTION
Can be any of the above three but is into construction companies where staged invoices, applications for payment and contracts are prevalent. The lender can fund applications but with the additional risk, additional due diligence is undertaken.
- Funding that grows with your business – releasing more cash as you need it
- Uses security in your business meaning limited personal security (if any)
- Use finance for any purpose
- Can have credit insurance bolted on
- Tailored products for specific circumstances (confidential vs credit control function)