Invoice Finance is lending against invoices you've raised until they are paid. It is the most common form of working capital for growth and has more or less replaced overdraft facilities for all businesses that provide credit terms.
The three best-known forms of invoice finance are:
Whole Turnover - where all sales are funded by the lender - most appropriate where a business has a permanent and possibly growing WC finance need
Selective - allows you to choose specific customer accounts to finance and is appropriate where customer payment profiles vary a lot.
Single Invoice - allows you to only finance specific invoices and is appropriate where sales are lumpy or cash balances fluctuate widely.
Choosing the right facility for your business can be a daunting and time-consuming task. It is made more difficult by the sheer number of providers and their differing attitudes to different sectors, business age, credit rating, advance levels, and fee structures.
We can help you determine what type of Invoice Finance is right for you, select the most appropriate providers and negotiate the right deal. We can also help you with Credit Insurance which is often a requirement of the finance agreement.