Faqs-Invoice-Finance
Frequently Asked Questions - Invoice Finance
Previews of our Frequently Asked Questions covering our invoice finance services.
Why use a factoring broker?
The simple answer is why not? It won't cost you a penny more to use our broker factoring service!
Don't understand all the invoice finance jargon?
As with any form of commercial loan a professional such as an accountant or solicitor should be consulted before signing any contract.
Can a new business factor company debts?
A new business can indeed factor debts, in fact in some sectors it is probably essential!
Does all my sales ledger need to be factored?
Invoice factoring finance can be obtained from a single invoice through to a whole sales ledger.
How long do I have to commit to an invoice finance lender?
The minimum term for an invoice finance facility is typically 12 months but is not always the case.
Will previous credit problems exclude my company from getting invoice finance?
This is a difficult question to answer generically and will depend on the circumstances surrounding those credit problems.
Will my trade invoices be the only security required by the lender?
Trade invoices are for many businesses their main asset and only form of security available.
Who provides invoice finance?
Invoice finance is offered by banks and specialist asset based lenders. All operate with different criteria and levels of service.
Which product is cheaper? Factoring or Invoice Discounting?
Invoice Discounting is generally cheaper than a Factoring facility and here are the reasons why.
What is the difference between invoice finance and debtor finance?
Invoice finance refers to factoring finance and invoice discounting. However invoice finance can be referred to by other generic terms but essentially all mean the same thing.
As "invoice finance brokers" we have successfully arranged factoring and invoice discounting facilities for our business clients in the past. Here are just a few invoice finance case studies that you may find of interest [more details].