During the average adult lifetime – the equivalent of almost 6 months is spent queuing. It crossed my mind if this is the average Brit how much more time is spent by business owners waiting to deposit cheques from customers.

Factor in (forgive the pun) driving to the Bank,fuel,parking and queuing; it almost pays to have someone do this for you. Well there is a solution, use a factoring company and they will insure the debts and do the credit control as well! Some of them send out your invoices and pay the postage.

The annual cost of factoring starts as low as 1% of sales so it can be a very cost effective outsourcing tool for a business owner.

· According to a survey in June 2011 by on line auction site Madbid.com
Why not give us a call?

Banks not lending to SMEs is by no means a new thing and something that appears almost daily in the newspapers. But did you know that invoice finance providers are not as nervous when it comes to lending?

Factoring or invoice discounting provides an instant cash injection, and immediately provides working capital with a minimum of fuss.

Invoice finance releases the money tied up in customer invoices, and raises up to 85% in cash for working capital and expansion. Furthermore, cashflow becomes far more predictable and regular.

In challenging situations this can be done without the need for additional security that may well be required by a Bank, assuming it is willing to lend in the first place!

It’s not unusual for a Bank to ask for additional security in support of an overdraft or loan. Indeed, there have been some high profile legal cases with married couples fighting to keep their homes from Bank repossession.

Personal guarantees for factoring tend to be more of an undertaking to comply with the spirit of the Agreement e.g. don’t send invoices for work that hasn’t been completed!

Factors are also able to offer bad debt protection to reduce the risk of a shortfall from insolvency or protracted default.

As the factoring company partners with the client to manage sales ledger collections they are able to work closer to their customers and take a more relaxed approach.

We are able to arrange factoring facilities for non-home owners, start ups and challenging situations without additional security.
Interested?

They tend to be written around a 12 month term so the ability to switch to a cheaper or better facility is a whole lot easier.

In our experience, Bank factoring agreements signed in early years of trading can be expensive as the customer may not have compared quotes.

Quite often the facility would have been written around projected sales that may have been exceeded or possibly not met. Either way, some fine tuning will be necessary.

We are able to offer a simple comparison facility over the phone.