FACTORING
Factoring can provide cost-effective access to working capital in the right circumstances, although as with any finance tool there are downsides as well as advantages.
Various types of factoring are available, all providing a mix of four basic options:
- the provision of finance
- sales ledger administration
- credit management, including cash collections
- protection against bad debt
INVOICE DISCOUNTING
Confidential Invoice Discounting has become far more accessible to businesses in the past few years.
Many people still wrongly believe that Invoice Discounting is only available for larger businesses, which is a throw-back to the early days of Invoice Discounting when it was only available to Companies turning over in excess of £2m.
Over the past 2 to 3 years the turnover levels required have fallen dramatically to a level where even businesses turning over only £250k will be considered providing they can demonstrate their ability to successfully run their own sales ledger. In many ways the reduction in turnover criteria has mirrored the rapid growth in the number of Companies who have their own computerised sales ledger management systems. For more information, please contact us on 0191 488 8445 |
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