Invoice Factoring for small businesses in Portsmouth

Commercial finance PortsmouthInvoice Factoring Portsmouth is a funding solution for businesses, which allows them to finance the time between giving a receipt and trusting that the client/customer will settle it. Income is consistently an issue for organisations in Portsmouth that offer credit terms to their clients.

Agonising over when payment will be made, or whether it will be made by any means, is a pointless interruption when you are attempting to maintain a business and boost your profits.

Portsmouth is celebrated for its small businesses and independent retailers, so we want to help keep however many above water as we can. The city is genuinely exceptional and draws in large number of sightseers quite a long time after year from everywhere the world. Notwithstanding, inconvenience has discovered its approach to Portsmouth as of late and over the previous year or thereabouts, numerous Portsmouth-based organisations have endured a huge monetary shot, making it considerably harder to get solicitations paid on schedule, because of the progressing impacts of the Coronavirus pandemic.

Portsmouth Commercial Finance

If you are a Portsmouth-based business looking to raise commercial finance, Invoice Funding are ideally positioned to help you.

We are experts at helping owner managed businesses raise finance. Our strength lies in our experience and knowledge of the many different financial organisations that are available to businesses. We can help your application be successful by finding the right active provider of commercial finance and ensuring your application complies with their lending criteria.

While you, as a business owner, work on ways in which you can return your company back to its full strengths, you don’t want to be sitting around and waiting for unpaid invoices to eventually be paid. This can be problematic for any business, as it harms cashflow levels. If you complete some work for a client and don’t want to wait around for the money to come in, you can now be paid immediately.

Businesses located in Portsmouth can apply for invoice factoring today; a service which allows you to receive the vast majority of the total VAT inclusive value immediately. This can be a huge help to business owners that may be searching for a fast and effective way to inject some cash into your business, rather than waiting around for your pending invoices to finally be paid.

That is why many Portsmouth firms have started to use invoice factoring. As the leading invoice factoring broker in Portsmouth, we have help secure more funding than any other broker based here.

Invoice Factoring Portsmouth is the process of sending your invoices to a factor as soon as they have been issued. This entitles you to draw down an agreed percentage of the invoices (perhaps up to 85 or 90 per cent) immediately. The remainder (less charges) will be paid to you once the customer has settled the bill.

The most obvious advantage of using Invoice Factoring for Portsmouth-based businesses is improved cash flow. Even if your invoices specify a strict term for payment, it is unlikely that all of your customers will stick to this timescale.

Receiving most of the money immediately increases the working capital available to you and allows your money to work harder for your business. This means that you do not have to worry about being able to pay your own suppliers on time. It also allows you to plan ahead and to take advantage of opportunities as they arise, giving you maximum flexibility and an edge over your competitors.

Why use a commercial finance broker?

Commercial finance brokers are business finance experts, with many years experience in sourcing funding solutions for SMEs. You could rely on your accountant for business finance advice, and some are very experienced in this area, but most simply do not have the time or resources to keep on top of such a fast-moving industry.

Lender appetites, new products, eligibility criteria etc – there’s a lot to it. Commercial finance brokers only focus on commercial finance so we are always completely up to date with what is going on in the market, the huge range of funding options on the market and which lenders are truly open for business.

Most commercial finance brokers have many years experience working for banks and financial institutions and have actually lent money to businesses themselves, so they have a deep understanding of what lenders look for in a finance application. We have over 10 years lending experience to fall back on and this puts us in a fantastic position to provide really valuable support to our clients, helping them access the cash they need to grow their businesses.

Invoice Factoring for Portsmouth based Businesses

Invoice factoring is a way for Pompey based businesses to raise money by selling invoices to a factoring company at a discount. Factoring usually includes credit control, this is where the lender chases unpaid invoices up on your behalf. UK factoring companies help release cash from your debtor book. Here is everything you need to know about invoice factoring.

Features of Invoice Factoring

  • The lender will provide credit control services to keep your customers paying on time by sending regular statements of account, reminder letters and telephone calls as appropriate.
  • Outsourcing the credit control allows you to focus more on your business and not having to chase late-paying customers.
  • The lender handles collecting payment from your customers, so your customers will know you’re using a factoring provider.
  • The lender can provide credit checks on existing and potential customers.
  • Well suited to small or early-stage companies.

Benefits of Factoring

  • Factoring 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 or protracted default
  • Improved cash position can help you secure supplier discounts

The criteria of Invoice Funding

  • You need to be a company selling to various other companies.
  • You need to be selling on credit terms or planning to do this.
  • You need to be raising invoices in arrears of delivery of the goods or service your business offers being provided.
  • Your consumers must be credit history worthy.

If you fulfil the above requirements there is an excellent opportunity that we could source a suitable facility for your company.

How Can Invoice Factoring help your Portsmouth Venture?

There are a number reasons why businesses based in Portsmouth may look at using invoice factoring to improve their current situation. It maybe that you’re struggling to cover your running costs or that lengthy invoicing terms are restricting the amount of new work you can take on.

Due to the relationships with invoice funders, we have carefully nurtured with our years of experience, we are best placed to negotiate special rates and arrangements. This puts us in a position to secure more favourable terms and conditions with our panel of funding lenders than if you contacted them directly. Combining this with our market leading industry knowledge and insight, it means that Invoice Funding is the only name in Portsmouth you need to know when it comes to sourcing finance solutions.

If so, then it may be worth considering invoice factoring as a funding solution for your Portsmouth business. This allows you to gain access to essential funds as soon as your invoices are sent out, giving you the capital, you’ll need to develop your firm.

Fund Your Business

Speed up your cash-flow today. Forget issues caused by slow-paying customers