Invoice Funding are one of the UK’s largest and leading Invoice Factoring Brokers. Since our birth in 2005 we have helped 1000’s of UK based business secure the Invoice Factoring Finance they are in need of. As independent leading brokers we will arrange the best fit for your business. We work with a number of high street and alternative factors.
We had recognised the gap in knowledge and advice available to business owners, accountants and other professionals when it comes to funding options, in particular Invoice Finance. We have a great working relationship with invoice Finance companies and have agreed preferential discounted rates, which as Independent Invoice Factoring Brokers we pass on to you.
Invoice Factoring Brokers Why Use Them?
Once your enquiry has been received, we will look to understand your needs and expectations and we will match you to the most appropriate funders from our invoice funding panel. We also understand that your business needs may change over time. For this reason, we dedicate a Consultant to each customer to ensure that our service proposition lasts throughout the lifetime of your business. We have a funding panel of over 40 invoice factoring companies and we are confident we will be able to assist you in selecting the right funder for your business. As we understand funding, we are confident we can place you with the right funder, at the best possible rate. Just one reason you would use us as your Invoice Factoring Broker.
How does Invoice Factoring work?
Invoice Factoring companies provide you with both the working capital you need to grow your business and the time you need to achieve this. Here’s how it works:
Step 1 (Invoice) – You raise an invoice with a customer, containing information on how much the customer needs to pay and in how many days.
Step 2 (Cash Advance) – You send a copy of this invoice to the factoring provider, who will pay you a pre-arranged percentage of the invoice within 24 hours.
Step 3 (Growth) – You now have the cash available to cover the costs of your next job and reinvest back into growing your business.
Step 4 (Repayment) – By factoring invoices, you will not have to do much else. The factor will collect the payment at the previously agreed date from your client and send over the remaining value of the invoice you did not initially receive, minus pre-arranged fees.
The Role Of Factoring Brokers
The role of the Invoice Funding as factoring brokers are the following:
- Factoring brokers introduce clients seeking invoice to an appropriate factoring company based on the businesses individual needs.
- Brokers are to be impartial
- Being independent is critical for Brokers
- The entire factoring market will be scanned for a suitable lender
- They know all of the factoring companies niches, strengths and weaknesses
- Most brokers are free to use as they get paid a commission by the factoring company.
Advantages of Invoice Funding
Aided by the level of choice provided by the variety of banks and independent lenders which include it amongst their portfolio of lending products, there are numerous reasons why companies choose invoice factoring as their preferred invoice funding solution and use Invoice Funding as their Invoice Factoring Brokers:
- Invoice funding bridges the cash flow gap between paying suppliers and getting paid
- Credit control expertise helps to reduce in-house overheads and improve collection times
- More flexible than overdrafts and bank loans, as funding grows in line with sales ledger
- Credit protection can safeguard against debtor insolvency
- Improved cash position can help you secure supplier discounts
How Factoring Brokers can help?
As a first step, a good factoring broker will gather information about a business including its size, turnover, and its client profile to help find the best fit. This information gathering is typically done online, over the phone or even face to face if they happen to be situated in the area.
Once the factoring brokers have received all the information they need they will set about referring customers to lenders which are best suited to fulfil their requirements and generate quotes.
When the factors quotes are received it’s the role of invoice factoring brokers to discuss and explain which particular lenders would be the ones most suitable to help. The broker’s knowledge of the market and the individual lenders’ strengths and weaknesses put them in the perfect position to achieve this. As factoring brokers we understand that one size does not fit all, some smaller businesses like the personal touch. We would suggest if your turnover is under £150,000 you would use a small factoring firm like Regency PLC.
There are a number of other benefits which a invoice factoring broker offers which make them the ideal way to find a lender as they understand the market.
Independent Factoring Brokers
Independent Factoring brokers will have invested significant time in getting to know the best invoice factoring companies in the market, and will know which firms are reputable, and which are not. Invoice finance companies will also know which Funders are most appropriate for different types of client. Some clients for instance may like high street mainstreem banks like Barclays Invoice Finance. Others may require specialise funders in particular industries like printing. As we are independent brokers we can ensure you get the best factoring deal. We are not tide to any lender, the foundered will pay us a commission but we do not charge you a fee for our services.
Get The Best Deals
Factoring brokers also negotiate preferential rates and discounts from lenders for business they introduce. This is due to the large amount of invoice finance enquires we pass to the Factor’s. Not only should you be getting the best deal available, but that deal will be made more competitive by using a broker as they can negotiate and secured favourable rates than if you had gone direct.
Would you like to know more about Invoice Finance. Learn more about the benefits of using us as your Invoice Factoring Brokers and how we can help you and your business? simple complete the inline enquiry form and a funding specialist will contact you.