Invoice Factoring 2017-06-06T16:30:33+00:00

Invoice Finance

  • Provides funds for growth
  • Immediate cash advance
  • Turnover from £25,000
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Invoice Factoring

Our experienced invoice factoring specialists are on hand to secure you the best terms by comparing lenders from across the whole market.

Invoice finance is a product that allows businesses to raise funds against money that is owed to them. It is designed to improve cash flow, invest in growth or operations and pay suppliers and staff.

A set percentage of the invoice is released to your company immediately by the lender. The remainder is then released when the invoice is paid, minus an agreed percentage which is paid to the lender.

Invoice finance can be broken down to two main products, invoice factoring and invoice discounting. Invoice factoring in particular is often used to solve issues associated with customers taking too long to pay, or requiring regular chasing.

Invoice Factoring is designed for companies who are either smaller, or do not have robust credit control systems in place. Factoring is designed to fund your entire sales ledger. When taking out a factoring facility, the lender will take over credit control.

As a result of the lenders role in credit control, the facility is by nature ‘disclosed’. That means your customer will be aware of the fact you’re using a factoring facility.

The full service approach, including credit control, is more secure for the lender, meaning factoring will usually offer the highest advance amount. High advances combined with the inclusive credit control means your business will save considerable time and will have maximum cash flow. This allows business owners to focus solely on the business, with far less time concerned by credit control and managing cash flow.

  • Recruitment
  • Haulage / Logistics
  • Export
  • Wholesale
  • Construction
  • Manufacturing
  • Security
  • Printing
  • Plant Hire
  • Engineering
Click Here To Enquire Online Now

How Invoice Factoring Works

  1. You send your invoice to your client and copy in your lender.
  2. The lender will then release the funds to you, usually the same day or within 24 hours.
  3. The payment is chased for you, meaning you can focus on delivering the next order, without worrying about payment.
  4. Once the invoice is paid, your lender will let you know and the remainder of the funds due to you are released.

Working With ABC Finance Ltd

We are focussed on saving UK businesses money. We focus on finding the cheapest and most suitable products for each client. Every business is different and we tailor each quote individually, working with industry leading factoring companies to secure you the best possible terms.

We take the hassle out of finding the best factoring facility, advising you every step of the way and managing the process through to a speedy completion. We aren’t tied to any individual lenders and as such can focus solely on finding the right deal for you. On top of this, we don’t charge for our service, meaning there are no broker fees to pay at the end of the process.

The Benefits Of Invoice Factoring

  • Cash flow is improved by taking out factoring as funds are released immediately. As soon as the invoice is issued, funds can be released into your bank.
  • Due to the credit control services offered by lenders, you would no longer have to spend time chasing payments. This would all be done for you, leaving you free to focus on what you do best.
  • Lots of businesses accelerate business growth using invoice factoring. The certainty of immediate payment means cash flow becomes far less of a worry. Often the funds released early can be put to good use to help the business.
  • Negotiate improved terms with suppliers due to your new found ability to make prompt payments. Improved cash flow can be put to good use for this purpose amongst other things. The benefit in this area alone can often more than cover the cost of the facility.
  • By taking out a factoring facility, you have no need for a credit control team. In many cases, the cost of hiring a credit control team can far exceed the cost of invoice financing. As a result, factoring can offer you a fully managed credit control team for a fraction of the cost.

Is Invoice Factoring Suitable For My Business?

Invoice factoring is suitable for any B2B businesses that would benefit from improved cash flow. If delayed payments from creditors hold back your ability to efficiently run or grow your business, factoring could help.

By receiving payment almost as soon as the invoice is raised, everything from payroll to paying suppliers and managing growth becomes simple. The revolving funding line is designed to grow with your business and is naturally in tune with your busy periods.

When compared to other business funding options such as overdrafts, business loans and peer to peer lending, invoice finance is often the most flexible option.

By transferring credit control to your lender, the benefit can easily outweigh the cost. The time saved worrying about chasing payments can now be spent on running your business. If you want to spend more time running your business and less time worrying about cash flow, factoring would benefit you.

Bad Debt Protection And Other Add-Ons

Bad debt protection can be added to your factoring facility. It is designed to ensure that you receive payment even if your customer is unable to settle the invoice.

Our lenders are able to offer full protection against bad debt, meaning you no longer have to worry about companies failing to pay.

In the event of customer insolvency, the whole process is managed on your behalf, meaning you don’t have to spend time negotiating. This can save significant amounts of time and stress.

Bad debt protection and other add-ons increase the cost of your facility. Our expert advisors are able to talk through your options, explaining each product clearly to ensure you understand your options.

Call Us Today Or Enquire Online

We are experienced factoring specialists and have relationships with all the top invoice finance lenders. By working with us, you can access the whole market through one simple, quick enquiry.

We manage the whole process for you, meaning you can relax while we negotiate with multiple lenders on your behalf to secure the best terms.

Enquire online now or call us on 01922 620008 to get a free personalised invoice factoring quote.

Fast funding
money in your bank within 24 hours

High level of advance
up to 95% of invoice value upfront

Selective invoice finance
all invoices or even just one

Factoring or discounting
we help you to choose