Is it difficult to keep up with business cash flow due to owed invoices? You can forget about waiting till the last day when the customer will remit the money. Invoice financing in the UK can provide a way out to receive the lion’s share of the due amount.
Here, your invoice will help you procure funding for your business. TheBusinessFunds as one of the prominent invoice finance brokers can guide you to find a suitable lender, experienced and capable enough to match your preferences. Our only lookout is doing this search for suitable rates easy and less time-consuming.
You can easily avail of invoice finance for your already established small businesses. The invoice, which has been fruitless till now, can garner an opportunity to borrow funding based on some key conditions:
You get the funding irrespective of the nature of your business, such as:-
Go ahead to unbolt the hidden potential of your invoice and fetch helpful finance facilities. Showcase the invoice as security and let your business cash flow improve with time. Put simply, and this financial product can fulfil any commercial purpose.
This funding will assist you in freeing up the money locked in the unpaid invoices. Therefore, make the most out of this invoice instead of keeping it idle. Invoice finance brokers can do the legwork on your behalf and present you with a collection of funding providers.
Know more about invoice finance and its functioning to help your business needs.
Your business will no more suffer if the customer takes time to settle the invoice payment. All thanks to this flexible financing option! It comes into the picture when you are tired of experiencing a delay in receiving the invoice payment. You can downsize the setback of trade credit for your own benefit.
We work with reliable invoice finance companies. They aim to provide friendly support to the different types of industries that wish to survive the ebbs and flows of the business market. Some of them are:
| Construction industry | Through us, you being an independent contractor representing the business, can approach invoice finance providers who can help you arrange money to continue business operations. |
| Logistic industry | Logistic business struggles to survive due to inflexibility in their operations. This financing option can provide support if money is the most significant constraint in meeting business goals. |
| Manufacturing industry | It is a vast industry, and the need for cash is never-ending. Aspects like machinery repairs and maintenance costs keep thrashing the business owner. One can utilise this funding to sponsor these expenses when invoice payment is due. |
| Printing and Publishing | This business can utilise invoice financing in the UK to manage cash flow consistency without any hitches. The invoice finance provider will offer some percentage of the invoice amount as advance. |
| Wholesale | Financial issues are a common problem for this industry dealing with long credit terms. This financing solution can assist these businesses in making an instant breakthrough in cash flow. |
| Transport industry | The fuel price fluctuations now and then are a real threat to this industry. In this situation, a pending invoice can be appalling. This funding can save your business. |
| Security firms | These firms need to keep good rapport. Therefore, they face a constant financial need. The scarcity of funds can retard the overall expansion. This valuable funding can solve this problem for them. |
| Recruitment | The staff that works with you in running the business should get their salary on time. It is tough when the invoice payment is pending. However, you can use invoice finance for recruitment, factoring deals with the crisis. |
It is a helpless situation when you cannot meet the payments of suppliers because of outstanding invoices. We can totally relate to it. As one of the reliable invoice finance brokers, we made a provision to turn this utterly disadvantageous situation into a blessing for you.
This type of financing is available for companies that lack assets or have fewer assets to approach a bank. Here, we act as an intermediary between invoice finance companies in the UK and businesses seeking finances on the invoice. With us, any small business can even contemplate getting invoice finance.
The compelling features of this funding are:
Access to a big chunk of invoice dues
It facilitates easy borrowing up to 90% of the funding that you owe on the invoice. Dismissing urgent business requirements is possible with this financing. Money will credit immediately, and you do need to be concerned about the remaining amount. You will receive it once the customer settles the invoice payment.
Obtain money without layovers
Unexpected wait to get payment from the client after the completion of work is painful. It stops you from initiating a new project due to money shortage. Such an incident can harm the growth of your business.
Online Invoice financing available in the UK can help you overcome this tricky hurdle. You can quickly arrange money through this financing solution by making the most out of the idle invoice.
Shop around for competitive price
Take advantage of our established network of invoice finance providers. Fetch finance quotations to analyse every facet concerning this funding option. We will let you use our online platform to compare different lenders at completely free of cost. Reach out to the ideal lender who offers the best price.
Slightest documentation
Since we are a mediator, it does not mean you must complete a lot of paperwork. The process is simple in our case. The online form will enquire about a few details necessary to filter different types of offers. We will hardly demand any hard copy documents to take your application forward.
Adjustable repayment plans
We bring together lenders who show a willingness to offer money to businesses for a flexible duration. It is going to be a compulsion-free borrowing experience for you. Here, repayment will be the least bothersome as you can utilise an extended duration to complete payments. The tenure will depend on the lender whom you choose.
With us, you can explore different options for financing against invoices. Do not worry if figuring out the right choice is difficult for you! We help you in our best efforts. Remember that the final selection must coincide with your business's circumstances.
The list of types is as follows:
Spot Factoring
Selective invoice financing in the UK is another term that defines this particular category. Feasibility is the biggest factor that can attract business owners like you. This facility elaborates:
Invoice Factoring
It is popularly known as invoice finance factoring. Get relief from putting effort into following up with clients for payments. Unlock benefits like:
Invoice Discounting
It gives your business the liberty to sell its sales ledger. However, you feel free while thinking on transferring credit control. It will remain with you. The additional advantages are:
It is exclusive financing available for the construction industry. You must seek this financing assistance if you have a construction business. Enjoy customised offerings from experienced lenders. Avail other extra facilities like:
You are at the right place if you do not want anything to hamper the business cash flow at any cost. We are talking about invoice dues. Our lookout here is to make sure your business expansion plans should not come to a halt. Thus, our forte is to take you closer to the ideal finance deal offered by a trusted finance provider.
Advantages
The various perks of this online accessible invoice finance are:
Boosting cash flow
You can procure money at the earliest. The process is relatively faster than banks. We choose to work with lenders who are swift in taking action. Therefore, you can experience a faster process that can result in an instant boost in cash flow.
Maintaining working capital
Delayed payments can no longer affect the working capital requirements. Stay afloat by taking the help of online invoice financing in the UK to free up the tied-up cash. Continue performing the usual business operations with the help of this arrangement and ensure business growth.
Supporting credit control
The lender will take up your credit control roles. No need for you to shift focus to any activities that are critical for promoting your business. The lender will take care of this task regularly for the betterment of the business. You must focus on the core operations.
Allowing paying for what you borrow
Interest will be a levy on the amount you will borrow. The finance provider will not charge interest for the entire amount you owe in the invoice. You can pay less by borrowing less. It is because we work with lenders who do not charge fees other than interest rates.
Sponsoring essential payout
Get financial assistance to carry out essential business expenses. You will not face any restrictions regarding usage as you will have the liberty to address any financial issues your business might encounter by getting access to cash stuck in the invoice.
Disadvantages
You should ignore the potential pitfalls despite feeling elated seeing the exclusive benefits. The disadvantages will tell if this financing option is a right fit for you or not by pointing out at the potential risk factors.
No scope for smaller companies
It is accessible for companies that fulfil the specific turnover requirement of £150,000. Your business will not qualify if it does not produce the required turnover. In short, smaller companies cannot take advantage of these funds.
Expensive nature
These are short-term finances. Thus, the loan cost might be bulky for your business to afford. However, you can utilise the facility of loan comparison services arranged here to bag the most pocket-friendly loan offer.
Restricted protection
Getting this financing cannot prevent the dangers of non-payment by your clients. Nevertheless, you can gather money based on the due amount on the invoice to tackle expenses for the time being and not for the long-term.
Trigger dependency on credit
The ease of access feature might tempt you to depend on it over and again. This can be fatal if you turn borrowing into a habit. Then, you will fall into an unavoidable debt trap and will question the financial stability of your business.
Receive acceptance if your client is a business
Your clients should be a business. It is a pre-requisite of this funding. You cannot apply for invoice financing if your client is a human being and not an entity. Checking basic requirements like this is mandatory if you want your business to qualify for this funding.
Your business will incur this cost to borrow this funding. It includes invoice finance rates that lenders will impose. The whole price will differ depending on the amount you take out for your business.
The financial stability of your business and customer base will have an influence on the cost. The two ingredients of the cost are:
Service fee: The cost you will pay for maintenance. Your turnover is a decisive factor in determining the amount of the fee.
Discount fee: Pay this interest fee on the borrowed amount. It counts upon the amount you will withdraw, irrespective of the time. You can save funds on such fee by repaying early. On the flip side, you will pay more by repaying late.
The calculating procedure for invoice factoring and invoice financing will be dissimilar. You might have to go through a hybrid calculation process where you will come to know about terms like factor rate. In the case of invoice financing, the business might have to bear interest and credit management fees at the same time.
The creditworthiness of your business is one of the prime factors that can influence the calculation of costs. Apart from this, the reputation of your venture, turnover and years of having the business (that should be at least more than a year) will play a role in determining the factor rate. In addition, your quality of clients is critical in determining whether your business can fetch a lower factor rate.
We are familiar with different businesses that exist in the market. However, invoice finance brokers like us usually have an all-rounder process to help them shortlist the best deal. This step-by-step method is the least time taking one and starts like this:
Financial performance is a significant aspect of receiving a positive response from the finance provider. Although credit history is the least important, some lenders will be interested in analysing the bank statements of your business to see the difficulty level you are facing as a company. It also has a lot to do with the type of business you are having.
If settling with invoice finance is not relevant for you, we have other alternatives in store for you. Check them out. Focus on your business condition before trying out any of these alternatives:
Trade finance: It applies to international trade. You have to place an order for goods. The finance provider will meet the payment in place of you. Repay once it reaches the desired receiver.
Recovery loan: This financing option is helpful for comparatively smaller-sized businesses without access to normal borrowing opportunities.
Credit insurance: A viable alternative to help you overcome the risk of receiving no payment from your client is credit insurance. It protects your business even if the client's business fails.
Export Funding: Consider utilising this type of financing if you are dealing with an overseas client.
Single Debtor Funding: This alternative helps you to receive financial help for the invoice of one client. You cannot get financial support for the total sales ledger.
We are one of the reputed invoice finance brokers looking forward to minimising your hard work in finding the right funding offer against pending invoices. With us, it is easy to search for the right lender. We work like a mediator between you and the invoice finance company. Our offerings will encourage you to get in touch with us.
Opportunity to Borrow at Optimal Rates: Receive different offers from different lenders. Assess and review to figure out the most affordable loan offer.
Our Market Knowledge: We study the market to help you meet a bunch of reliable and helpful lenders. You can utilise this facility without any second thought.
Any-time Access: We operate online. Therefore, we need not define any specified schedule as active working hours.
No Tension of Hidden Fees: You are free to pay us no surplus fees. Besides, we never appreciate unfair practices by charging hidden fees.
Speedy Comparing: You can shop around for best rates online. Therefore, unnecessary delays are not part of our process.
We cannot give you any idea about the overall borrowing cost. You will get individual quotes from lenders once your request reaches them. You can go through it and calculate how much you will have to pay to avail of this financing option.
Both of them facilitate business owners to obtain invoice payments in advance without waiting till the client disburses the payment. Invoice financing occurs between businesses and lenders, unlike factoring, which witnesses the connection between the lender and the client.
Invoice discounting is the other name of invoice financing. The lender will offer it based on the outstanding receivables. On the flip side, invoice factoring lets the provider buy the pending invoices at a discounted price before giving out the advance.
It will not take too long to receive a response after the initial enquiry. We work hard to make the process streamlined and swift. Once everything is set between you and the lender, the final processing will be complete after a quick span.
It is a modernised version of financial products that should match the requirements of present businesses. The best part is that it will not hamper business and client relationships. As a business owner, you can maintain confidentiality while obtaining this financing.
