Invoice Factoring Finance
Invoice factoring offers businesses to control cash flow by selling invoices to a factoring company at a discount. Also, factoring usually includes credit control services, and helps companies release cash from their debtor book. Here’s everything you need to know about the finance option.
Invoice Factoring is a way for businesses to obtain cash through the sale of unpaid invoices (accounts receivable) to a third party company (Factor) at a discount.
The process is that the factoring company buys the invoices for a percentage of their overall value and will take over responsibility for collecting the invoices. As a result, the factoring company could pay the full invoice amount and charge a set percentage rate.
This is perfect for companies who currently don’t have the available cash balance to meet their obligations and accommodate their other cash needs, such as for new orders or contracts.
The use of factoring to obtain the cash needed to accommodate a firm's immediate cash needs will allow you to maintain a smaller ongoing cash balance Therefore, by reducing the size of your cash balances, more money is made available for investment in your company’s growth.
If you're interested in learning more about Invoice Factoring and how it could help your company generate additional cash, get in touch with one of our experience team members today.
Why Choose Ethos Asset Finance For Invoice Factoring?
We offer a personal approach and tailor our deals to suit your needs. Also, we take responsible lending seriously and believe our services should offer your business value. Furthermore, our established relationships with lenders allow us to find the most competitive rates. Finally, We don’t charge any administration fees for our service.
Asset finance gives you the power and flexibility to help build a sustainable future for your business - making your money work for you. When you need to keep tight control over your cash flow and working capital, invoice financing offers many advantages.
The security within the asset you’re looking to acquire can result in a quick turnaround of credit applications.
Want to find out more? Get in touch with us today.
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