Q and A
Why invoice finance?
Invoice finance provides a service that can help you push forward with plans for your business. Invoice finance can also make a huge difference to your strategic planning and access to immediate cash flow can save your company money when negotiating new contracts and discount terms with suppliers. You can also gain protection from bad debts through a non-recourse option.
Will my customers be upset for using debt collectors?
It is in the interest of any factoring provider to build a good rapport with your customers and to help in promoting positive relationships, so in our experience no. Factoring companies aim to reach an agreement that suits both businesses. Customers on the whole are more than happy dealing with the well managed, simple and streamlined processes that factoring companies offer.
Will my invoices to my customers show my company details or the factoring company?
Standard disclosed invoice finance will see you continue to send out your own invoices as you did before but with information included about how to pay your invoice finance partner and their contact details for any problems.
How will I receive my money?
The majority of our providers will endeavour to pay you for invoices within 24 hours of receiving the invoice.
If a customer does not pay what will happen?
Your invoice factor will assume the responsibility of chasing customers for payment. If the customer fails to pay and you have selected recourse factoring, you will still be responsible for the balance of the invoice, as well as any interest and fees. If you have selected non-recourse factoring you are protected from bad debt and your invoice finance partner will look to reclaim the debt through their credit insurer.
How do I start the process?
The easiest way to start making the most of factoring services is to fill in our short and simple online application form. We will then assign you to one of our carefully selected partners who will walk you through the entire process and provide you with free no obligation quotes from factoring companies best suited to your business.
Is any business suitable for invoice finance?
Invoice finance companies may consider working with some start up and smaller businesses, however we would generally expect your business to have an annual turnover of £50,000 or more. Factors will also generally ask that businesses do not have any one account that makes up more than a third of their turnover and your business should have a number of different customers.
How do I know which types of factoring or invoice discounting my company needs?
Our carefully selected partners are experts in their field. They will talk you through the different options and help you make an educated decision about which sort of factoring is right for your business.