Invoice Finance

Optimising your cash flow can be a major factor in the ongoing success and growth of your business. Invoice finance could make it easier for you to successfully manage your cash, regardless of whether your business is a start-up or established operation.

Every month your company will deliver its services and products to customers as normal. Invoices will be sent to customers as normal, with copies going to the invoice finance provider as well. This can be done either by post or electronically.

Your business will then have the facility of drawing down up to 85% of the invoice value within 24 hours. Specifically with invoice finance your credit control team will continue to collect the debt, with factoring however the factoring company will collect them. Under your standard terms and conditions when the invoice is paid by your customer, you receive the balance (less any charges).

Other funding variations include invoice discounting. This product is most often used by medium to large companies as a more flexible means of acquiring finance than traditional methods, such as a business overdraft.

You can read more about invoice finance products and services with Smeif.com. Run and operated by small business people, their aim is to provide no-nonsense guides, articles and tips for start ups and existing small companies.