Factoring

Factoring is a form of lending where a Factoring company advances you money against the value of your invoices as soon as they are issued.  This enables you to improve your business cash flow and more easily manage your sales ledger.

You can normally receive up to 90% of the invoice value within 24 hours which means you’ll never suffer at the hands of late paying customers again.

How factoring can benefit your business

• Factoring is competitively priced compared to overdrafts and business loans
• You will have more working capital to put back into your business
• You’ll know when you’ll be paid, which helps you manage your cash flow
• You can react more quickly to market opportunity
• The Factorer can manage some or all of your sales ledger and protect you from bad debts

Through our partner, Simply Business, we have access to the UK’s leading factoring providers; you can compare quotes online and there is no charge for setting up your facility.

Costs involved

Fees for factoring services are two-fold

• Service fees – covers the day to day servicing of your sales ledger.  Normally between 0.5% and 3% of your turnover.
• Interest charge – charged against the amount of each invoice.  Usually a fixed percent above the factoring company’s base rate.

For a no obligation quotation follow this link