What is factoring?
All too often businesses get carried away with securing that 'next big order' without considering if they've got the cash to meet it. That's understandable and the thrill of landing 'a biggie' can...
View ArticleWho is it suited to?
Factoring can work for most companies which sell to customers on credit. Since factoring is based on lending against sales debtors, retail businesses are not suitable. It is especially well-suited to...
View ArticleHow much can you raise?
Typically, factors will lend up to 80% of an invoice value. The words “up to” are all-important there. Much depends on the terms of sale your company operates and the credit-worthiness of your...
View ArticleThe drawbacks
The most common complaint about factoring companies is that they aren't great at collecting debts. Some of the larger factoring companies have a reputation for sending out statements and letters...
View ArticleFind a factoring company
There are nearly 100 factoring and discounting firms in Britain, so how do you choose? Some of them only operate in certain geographic areas, though most will work throughout the country. In brief,...
View ArticleInvoice discounting
Invoice discounting Invoice discounting is a variation on factoring where the client company collects its own debts, but the lender still advances money against them. One advantage of this is that the...
View ArticleBuying Guide : Factoring
Overview Factoring provides cash to your business with no time delay from issuing invoices as well as sales ledger and collection services. For many SMEs outstanding invoices are their largest asset....
View ArticleFactoring and invoice discounting
It doesn’t matter how good your business proposition is, how many customers you have or how much money you are going to make in the future. If you have no money available to spend, you can’t operate...
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