The Facilities

Funding Options

Funding for growth via working capital finance is still based around Factoring and Invoice Discounting. But these generic terms hide many variations and can be expanded under the description, 'Structured Finance', to include Trade and Stock finance as well as loan packages.

Fundamentally, invoice finance is the foundation with every provider having its own style of operation.

Factoring - Export, domestic and confidential options.

The Benefits:

• Links finance directly to sales growth. The more you sell, the more cash is available.
• Enables negotiation of early settlement discounts from suppliers which improves purchasing power and raises the credit standing of your business.
• Gives consistency to cash flow and 'smooths' peaks and troughs.
• Allows managers to concentrate on what they do best and most profitably.
• Can improve 'debt-turn' and thereby save interest charges.
• Saves staff time on credit control.
• Can be offered to include credit protection.
• Provides credit information on customers.
• Allows owners to stay in control of their own business.
• Unlike overdrafts, the facility is not repayable on demand.
• Expert advice on exporting is available.
• Interest rates are competitive.

Invoice Discounting - Export, domestic and confidential options available.

The Benefits:

Allows client to retain day-to-day control of the sales ledger and debt collection.

• If confidential option is used, customers are unaware of how your business is being financed.
• Links working capital finance directly to sales growth. The more you sell, the more is cash available
• Allows for negotiation of 'prompt settlement' discount from suppliers which improves your purchasing power and raises the credit standing of your business.
• Gives consistency to cash flow and 'smooths' peaks and troughs.
• Allows managers to contrite on what they do best and most profitably.
• Can be offered with credit protection.
• Can provide credit information.
• Allows owners to stay in control of their business.
• Unlike overdrafts, the facilities are not repayable on demand.
• Advice on exporting is available.
• Interest rates are competitive.
• Service charges are lower than those of factoring.

Stock Finance

Not commonly offered. Often used as a 'top-up' facility in a Structured Finance package.

Trade Finance

A 'transactional' facility based on funding confirmed orders for finished goods from creditworthy customers. It can be combined with Invoice Finance or is available by itself.

Structured Finance

Can include a combination of invoice, stock and trade finance, term loans, equity and venture funding.

Commercial and Private Mortgages
Business Loans
Secured and Unsecured Loans
Bridging Loans
Sale and Leaseback
Equipment and Vehicle Leasing
Lines of Credit

FactoringChoice can also provide:

• Consultancy services for those contemplating setting up an Invoice Finance company.
• Training services to the industry.