Debtor Finance

Do you require business finance but are limited by the amount of security you have available? If you have a list of debtors you may be in a position to leverage of these ‘future payments’. Invoice Financing is another flexible form of lending, where funds are advanced against moneys (debtors) owed to you by your clients. It is a highly flexible and increasingly popular way to raise finance, sometimes without the need to provide bricks and mortar security.

If you compare Invoice Financing to a traditional overdraft facility, the overdraft facility is limited to the amount of security available.

Invoice Financing on the other hand, can increase along with your company. As a business grows, your expenses generally increase right along with the turnover. At the same time, you will be attracting new clients and all too often, companies will experience significant cash-flow shortages as a result.

Because you are attracting new customers, your business has to maintain its control and ensure that moneys owed to you are collected within a reasonable time frame to cover your ongoing fixed expenses including manufacturing costs and wages for your staff. This is where invoice financing can be a real asset to your growing business.