Choosing the right invoice finance


George Canning, the 18th century English foreign secretary and prime minister once said,

“Indecision and delays are the parents of failure.”

Sometimes though, indecision is unavoidable – it can be daunting for a business owner to decide upon a finance solution that could make or break their business, without investigating all options in detail.

It is our role, as a finance solution provider, and yours as a trusted business advisor, to present options to business owners, to help them make an informed decision about adopting a finance solution that will enable them to have a successful and growing business.

There are many types of finance solutions available in the ever-expanding world of Alternative Finance: crowdfunding, peer to peer lending, invoice or asset finance.  Here we shall discuss the main options for Invoice Finance and areas to consider when selecting one.

Firstly a few questions need to be considered by the business seeking invoice finance:

  • How long is the financial assistance needed for?
  • How quickly is the finance needed?
  • How much can be afforded?
  • Can any security be offered?
  • Does it need to be discrete; would it be preferable for customers not to know?
  • Does the business wish to retain the credit control function?

Once these questions have been answered the most appropriate solution can be identfied.  To help, listed below are the key features of invoice trading, factoring and discounting:

If invoice trading looks to be a good option for your clients, and you would like more information or see it in action, contact us here.