Electrical contractor double its turnover with Invoice Finance

family run electrical contractor doubles growthABC Electrical Contractors is a family-run business that has been providing electrical services to commercial and industrial customers for over 30 years. The company has always been highly regarded for its quality workmanship, but in recent years it has struggled to compete with larger businesses that have access to more capital. However, ABC Electrical Contractors has recently turned its fortunes around by using Invoice Finance to double its turnover.

Invoice Finance is a type of funding that allows businesses to borrow against the value of their outstanding invoices. This has enabled ABC Electrical Contractors to buy materials and equipment upfront, without having to wait for customer payments.

As a result, the company has been able to substantially increase its turnover, while also maintaining its high standards of workmanship. ABC Electrical Contractors is now one of the leading providers of electrical services in the region, and its success story is a testament to the power of Invoice Finance.

Invoice Finance has helped growth had overtaken cashflow

We had always been a profitable company, but in recent years our growth had begun to outpace our cashflow. This was especially true during the busy season, when we would have a lot of work in progress but not enough money coming in to cover our expenses. We tried to manage our finances more carefully, but eventually we realised that we needed some help.

That’s when we turned to invoice finance. With invoice finance, we were able to sell our outstanding invoices to a third party at a discount, which gave us the cash we needed to keep operating. This was a lifeline for our business, and it allowed us to continue growing without putting ourselves at risk of financial ruin.

Our business bank turned us down

We had been in business for several years and had always been able to rely on our line of credit to help us through tough times. But when we went to the bank to borrow money to cover a slow period, they turned us down. We were shocked. Our business model had always been sound and we had never missed a payment, but the bank said that they were no longer willing to take risks on small businesses.

They suggested we try alternative lenders, but we didn’t want to put our business in jeopardy by taking out a high-interest loan. We eventually turned online and found Invoice Funding for help, but it was a simple but rewarding experiance. We’re still not sure why the bank decided to turn us down, but it was a hard lesson in the importance of having a good relationship with your lender.

Invoice funding to the rescue

Dealing with Invoice Funding was effortless, from the initial enquiry they found a number of lenders that are happy to finance our sector. From start to finance the process took about two weeks, we not have enough working capital for growth as well as being secure in knowledge that the monthly wages runs and direct debts all can be met.

Finance manger Lee Jones of Invoice Funding – I’m so pleased that we’ve been able to give ABC Electrical Contractors the support it needed. They are a great family run business, and we look forward to helping them more over the next few years.”

Lee Jones profile picture
Business Finance specialist at Invoice funding

Seasoned professional with a strong passion for the world of business finance. With over twenty years of dedicated experience in the field, my journey into the world of business finance began with a relentless curiosity for understanding the intricate workings of financial systems.

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