Debtor Finance can send your profits viral.

Debtor Finance can send your profits viral.

Should I use factoring, or shouldn’t I. Debtor Finance is a product that was created to help stretch your cash flow in the sticky times.

For example: Slow paying debtors. Creditors who demand payment. Purchasing stock or equipment. Recruiting more staff. Wages paid weekly. Also having to pay any tax arrears, or just piece of mind.

Factoring can really help you hit those goals if its used correctly. The important thing about Debtor Finance is that it is a short term solution going forward.

Less Security than Banks.

Of course overdrafts and line of credit loans are much cheaper. However often banks like bricks and mortar security before giving you a large enough loan to keep your business safe.

Hence Factoring clients come to our office to late. Consequently banks have to much security taken and a debtor finance product can not be achieved.

Why choose Factoring?

Factoring, Debtor Finance, Invoice Discounting facilities grow with your debtors. Lenders extend limits as its a win win for them.

As a result you grow and so does the amount of money lenders make. There is no extra security needed as long as there is a continued spread of debtors in your ledger. Overdrafts and Line of credit loans don’t have that flexibility.

Debtor Finance can send your profits viral.


Factoring facilities, speed in decision making is much faster, than a bank loan of any type. Credit managers can increase a facility at the push of a button.

Often banks are not so fast, often taking weeks for the same increase to happen. As always you pay more for a facility with more risk on offer.

That is why when a bank offers a facility is often cheaper. Clients managers just often have to add it to their current portfolio with no priority.

Debtor Finance lenders are tier 2 lenders. In most cases its managed with online systems. Furthermore some businesses don’t like the debtors being called to verify work completed etc. So this has to be taken into account when making that decision.

Why Choose Trade Debtor Finance Consultants?

Trade Debtor Finance Consultants have a quick tip with this situation. Before taking a facility, ensure you speak to your clients and get let them know that your possibly going forward with a debtor finance lender. Explain to them that your business is going and needs support through this faze. Also explain that as you grow their firm with benefit from this in the future if they meet you goals. By you taking the front foot, people wont make their own opinions about why you are using a lender.

Trade Debtor Finance Consultants offers you a complete explanation of a range of products and lenders with one call. Our firm strives to ensure that you have all the knowledge needed to help you with implementation of these factoring lenders. Using us, helps our family owned business continue to assist business across Australia at no direct cost to your firm. For more information please call our office 1300 00 8332.


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