Invoice Financing – Increases Cash Flow Using Your Unpaid Invoices
You have a business and your debtors take 30-60 days to pay. It’s not unusual as all the figures in collections show an average of 55 days. This cash is yours, but you don’t get it until your clients pay.
Your cash flow is on hold as these clients are using your firm as a bank. How can you grow your business with little money or cash flow to get those new clients?
Simple, Invoice Financing. Finance those unpaid debtors and get up to 80% of the funds within 24-48 hours of the invoice being verified. You get the final 20% once the debtor pays the lender less fees. This cash flow injection will assist in wages, purchasing of stock, ascertaining new equipment etc… Ascertaining this money now, is something you can’t be waiting for 30-60 days.
This has an obvious cost. Things to remember, these costs are off your bottom line. So it’s important to have a strategy in place to use those funds to grow your business. If you double your size, then the costs are not as important anymore.
In conclusion most business owners use these facilities to get out of a jam. One piece of advice from one of our experts. Once the situation has been rectified then what do you do with the facility then. Think about making steps to improve your position as your paying for it.
Trade Debtor Finance Consultants has been operating since 2009. It has been providing small to medium businesses all the information they need about Invoice Financing. Our firm offers all its recommendations in writing and have many references.
To find out more please contact our office on 07 5547 8731 or email email@example.com for that .