Factoring | Equity Finance

What is a Factoring?

Does your company struggle with cash flow problems while waiting for payment from your customers?

Did you know that factoring provides a cash flow facility for any invoice-raising business and can provide a solution for any business suffering from cash-flow problems?

As you may have experienced, debtors are rarely in a hurry to pay and that can interrupt trading in all sorts of ways. Factoring allows businesses to enjoy payment in advance secured against a debt ledger at much more favourable and flexible terms than a bank overdraft.

Benefits of factoring

• Excellent cash-flow solution for invoice raising companies
• No need to wait for payment on an invoice
• Advances up to 85% of value of debt ledger
• Rates rarely more than 2% above bank base rates
• Draw down funds against debt ledger at anytime
• Far more flexible than overdrafts
• Debt collection part of the service and dealt with sensitively
• New debtors vetted
• Department of Trade and Industry think at least 250,000 companies should be using factoring
• Ideal for companies with turnovers between £200,000 and £20 million

To discuss this facility with one of our trained advisers, call us free on 0800 594 5904.