Turn On The Cash Flow Tap With Single Invoice Finance
Are your customers taking so long to pay their bills that you can't meet your own commitments?
Has your bank manager run out of patience250-351 and put a choke hold on your credit line?
If that is the case you might like to consider a finance alternative which can get the cash flowing through your business again without the need to extend your debt.
The product is called single invoice finance. It is a relatively new development in the debtor finance space.
Like other types of debtor finance - a.k.a. factoring and invoice discounting - it allows businesses to raise funds by selling invoices at a small discount to their actual value. This gives the seller immediate access to working capital rather than having to wait up to 90 days for his or her customer to pay.
What makes single invoice finance different is that it doesn't require the seller to enter into a long-term contract to sell invoices -as is the case with traditional factors and invoice discounters -which can handcuff a business and gives the factor too much control over it.
The new development allows a business to sell just one invoice or multiple invoices depending on its need and when the "crisis" is over move on without any further obligation.
This puts the business owner in greater control of the relationship because he or she decides how many invoices to sell and when. There are many benefits of single 250-521invoice finance
This funding model also makes it possible for start-ups and businesses with patchy financials to obtain cash because the finance providers are mostly interested in the strength of the debtor and the invoice.
Such things as a customer's turnover, number of customers and the provision of property security are not such a big deal.
Single invoice finance is particularly useful if a company receives a large new order and needs to buy stock to create the product. If there is no cash in the bank the business owner can obtain the required funds by selling an outstanding invoice.
The invoice finance company will pay up to 90% of the value 250-522of the invoice immediately. The remaining 10% is passed on when the customer settles the account. The funder takes its fee from this amount.
Fees depend on the size of the invoice, how long before it's to be paid and the history of the debtor. Typically, they range between 2% and 5% of the total invoice amount.
Has your bank manager run out of patience250-351 and put a choke hold on your credit line?
If that is the case you might like to consider a finance alternative which can get the cash flowing through your business again without the need to extend your debt.
The product is called single invoice finance. It is a relatively new development in the debtor finance space.
Like other types of debtor finance - a.k.a. factoring and invoice discounting - it allows businesses to raise funds by selling invoices at a small discount to their actual value. This gives the seller immediate access to working capital rather than having to wait up to 90 days for his or her customer to pay.
What makes single invoice finance different is that it doesn't require the seller to enter into a long-term contract to sell invoices -as is the case with traditional factors and invoice discounters -which can handcuff a business and gives the factor too much control over it.
The new development allows a business to sell just one invoice or multiple invoices depending on its need and when the "crisis" is over move on without any further obligation.
This puts the business owner in greater control of the relationship because he or she decides how many invoices to sell and when. There are many benefits of single 250-521invoice finance
This funding model also makes it possible for start-ups and businesses with patchy financials to obtain cash because the finance providers are mostly interested in the strength of the debtor and the invoice.
Such things as a customer's turnover, number of customers and the provision of property security are not such a big deal.
Single invoice finance is particularly useful if a company receives a large new order and needs to buy stock to create the product. If there is no cash in the bank the business owner can obtain the required funds by selling an outstanding invoice.
The invoice finance company will pay up to 90% of the value 250-522of the invoice immediately. The remaining 10% is passed on when the customer settles the account. The funder takes its fee from this amount.
Fees depend on the size of the invoice, how long before it's to be paid and the history of the debtor. Typically, they range between 2% and 5% of the total invoice amount.
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