Factoring Accounts Receivable Benefits

Improved cash flow is the biggest impact that Factoring Accounts Receivable will have on your business. Factoring releases the money in your sales ledger, making it available to your business before your customers settle their invoices.

In very simple terms, if your business has £100,000 in unpaid invoices, you could release between 80% and 95% of the outstanding debt. That’s a cash inflow of up to £95,000 – massively beneficial to a business that’s facing cash flow challenges.

What benefits would a major cash injection bring to your business? Could you settle with some long-term creditors? Invest in new plant and machinery? Or in a new product or service? Perhaps it could boost your sales and marketing effort, driving new business opportunities and stimulating growth.

Compare quotes instantly online >>

Key benefits of Factoring Accounts Receivable:

  • You have access to additional funds without using any assets as security.
  • It can free up your time, as you don’t have to spend so long managing day-to-day cash flow issues.
  • The amount you can borrow is only limited by the amount that you invoice.
  • Having more cash available means you can negotiate prompt payment discounts with suppliers, offsetting some or all of your Factoring costs.
  • Factoring suppliers also offer business advice, helping you with strategic planning.
  • The service can be kept confidential, if you don’t want your customers to know.

Are you wondering how much cash your business could release from its sales ledger? Get an online quote now.

The value of good advice

If you’re thinking about Factoring Accounts Receivable to improve your cash flow, it’s important to get independent advice. You’re an expert in your line of business, but you might have little or no experience of Factoring.

You don’t want to get caught in the wrong type of Factoring arrangement. It would be incredibly frustrating to be tied into a twelve-month Factoring arrangement that did not meet the needs of your business.

Some Factors focus on specific industries, so there might be specialist lenders who can offer you a better deal than more generic ones.

Every business is different. It’s essential to get the right advice in order to find a Factor who meets your particular needs.

Why should I use Touch Financial?

Touch Financial is the UK’s leading online commercial finance broker and we offer a completely free service to our customers – our commission is from the lenders.We work with over 20 established lenders including Lloyds TSB Commercial Finance, Royal Bank of Scotland and Bibby Financial Services.

We have an established track record of helping UK businesses with Factoring Accounts Receivable, by putting them in touch with the right finance provider. We’ve helped thousands of organisations by developing a tailored finance solution for them.

Our team of Factoring experts are available to give free help and advice. They can also put you in contact with lenders quickly, often in less than one business day. We can also offer exclusive rates with some suppliers, based on our reputation.

Why not get a no-obligation online quote for Factoring right now? Or if you prefer, give us a call.

Compare quotes instantly online >>

Also in this section:

Every month Touch Financial help businesses improve their cash flow with invoice finance. Request a quote to find out how much extra cash you could raise.

Get a quote >