Factoring

Factoring is an invoice financing facility that allows your to release cash against your outstanding customer invoices as soon as they are raised. We also take away the hassle of chasing your customers' outstanding invoices, freeing you up to manage the day to day running of your business. This is the main difference to Invoice Discounting, where you still manage your own credit control.

Factoring in business is ideal if you have customers on long payment terms, or who often pay late, and spend more time than they would like managing customer payments.

Factoring helps you to improve your cashflow so you can run your business smoothly and efficiently. It also gives you have more time to focus on managing your business as we liaise with your customers for payment. Unlike a traditional funding such as an overdraft or loan, factoring grows in line with your turnover and works as a flexible solution to control your cashflow.

We access your business as part of your credit application and advise you of any security required.

We will work with you to make sure the funding you get is tailored to meet your exact needs. The length of time to have everything in place can vary depending on how complex your business situation is. Generally, we can set up a facility in a matter of days, however this depends on the speed in which we can access the information we need.

If your client doesn’t pay within the agreed period, also known as the recourse period, usually 90 days, funding will be removed unless protected by Bad Debt Protection cover. You have the option to protect against customer insolvency with Bad Debt Protection.

The cost will depend on the services you wish to use as part of any agreement. If you would like to request a quote, simply fill in our short form and we’ll send you the information you need.