Factoring & Invoice Discounting in the UK

Posts in category Invoice Finance

5 Ways To Reduce Invoice Finance Cost...

Reducing commercial finance costs

SWITCH  LENDER Invoice Financiers rates vary considerably at any one point in time and significant cost reductions can be achieved by approaching the competition. Not all lenders actually want your business. Their current appetite for risk, funding limits, company size or even industry sector can fluctuate and determine how competitive new offers might be. You […]

10 Tips Before You Sign an Invoice Fi...

10-Essential-Tips-Front-Cov

Invoice finance is a great business tool to help improve cash flow. Banks and a growing number of independent lenders have developed facilities with a range of complex terms and conditions. Just Factoring have compiled this Top 10 Tips. It is not definitive but will help you find and negotiate the best deal for your […]

Customers Slow to Pay?

Customers Slow to Pay?

We’ve seen buyers pushing supplier payment terms out from an average of 45 days to 90 days and beyond! It’s opportunistic given the fragile commercial climate, with large companies leading the trend. The pressure it puts on cash flow can jeopardise a business. We list some new possible options that might help bridge the gap. […]

Construction Industry & Invoice ...

Construction Industry & Invoice Finance

Over the years invoice financiers have by and large steered clear of the construction industry. The concern has been potential erosions to the debt created including the possibility of a client failing to fulfil any overall contract, rendering staged billings uncollectable. This has led to a problem for construction businesses and those deemed to have […]

Personal/Directors Guarantees

Personal/Directors Guarantees

Invoice financiers are seemingly getting keener to take guarantees from Directors in support of either a factoring or invoice discounting agreement. These guarantees give the funder considerable scope and not unnaturally many Directors are reluctant to offer them. Different funders have different requirements and there are funders whose default position is to always seek guarantees […]

Why should a business use a broker?

Why should a business use a broker?

If a business is contemplating any type of invoice finance the chances are it may be at the suggestion of its bank. The banks motive may not necessarily be entirely altruistic but may see it is a chance to earn more out of a business whilst improving overall security levels. Nevertheless the idea of invoice […]

Invoice Finance in the news

Invoice Finance in the news

There’s lots of talk at the moment of regulation within the invoice finance industry. Whichever way invoice finance is delivered, through a disclosed factoring facility or confidential invoice discounting the level of funding brought to a business can be really beneficial and with the facility size mirroring sales they are the most suited working capital […]

Invoice Discounting in the UK

Invoice Discounting in the UK

Invoice Discounting contains the basic characteristic of Factoring in that it’s the sale and purchase of a businesses accounts receivable at a discount. The core aspect that stands invoice discounting apart from factoring is that invoice discounting is usually a confidential agreement. Under the terms of a traditional Factoring facility all invoices raised carry a […]

Factoring in the UK

Factoring in the UK

Factoring has come a long way since its introduction into the UK in the early 1960’s. Initially viewed with suspicion it’s now a widely used (nearly 50,000 businesses in the UK) and accepted means through which a business can generate working capital. The word Factoring, whilst literally referring to the sale and purchase of an […]

How does Invoice Discounting work?

How does Invoice Discounting work?

With Invoice Discounting, you raise an invoice to your customer as per usual on your normal company stationery, send it to your customer and then present the finance provider with a copy to authorise payment. Typically, 75-85% of the invoice value can be released by the finance provider subject to individual circumstances. Invoice Discounting differs […]