Debtor Finance
There are many different names for debtor finance, they all run on the same principals, however some are slightly different in their delivery. Once Debtor Finance Broker understands your business and what your requirements are, we will place you with the best and most appropriate finance facility on the market.
Individually it is very difficult to find one debtor finance company that will fund all industries. Some financiers may claim they will fund a certain industry, however when it comes time to sign the loan agreement, you may find that instead of being offered the 80% of the invoice value, you are offered considerably less. This can be extremely frustrating.
Types of businesses for Cash flow Finance?
- Importers
- Construction Industry
- Wholesalers/suppliers
- Printers
- Transporters
- Manufacturers
- Service Industries
- People Industries
For example in the construction industry many factoring businesses are unwilling to provide debt factoring services to the construction industry clients due to the terms. This industry can benefit tremendously from factoring. The right invoice factoring product can eliminate the need for sub-contractors or construction companies to wait for payment and struggling to find the funds to start the next phase of a contract. With the factoring products available funds can often be provided and released as soon as 24 hours after the invoice is confirmed.
With construction factoring the subcontractor or the construction company can be paid virtually overnight, speeding up cash flow and improving your business ability to grow and be profitable.
Oakmont Group is one of the few factoring companies able to assist with construction factoring. We welcome construction invoices and would be only too happy to discuss how we can help you without a lengthy lending process.
10 Key Points to ask about Factoring Finance, Invoice Finance or Debtor Finance
1. How much does Factoring cost and what is my interest rate?
2. How much is it to setup a factoring facility and how long does it
take?
3. What percentage do you advance and when do I get the
balance?
4. What are your break fees if I want to leave early?
5. What is my contract term?
6. Does the Factoring firm contact my debtors, or do I maintain the collection of monies?
7. What is the main difference between each factoring company?
8. Is the factoring system online and easy to understand? Ask for brief explanation?
9. Do we need Real Estate Security to get a factoring facility?
10. What happens if the debtor doesn’t pay and goes into Administration?
