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How Can You Deal with a Cashflow Crisis?
As a small business owner, you know how
important it is to have a good cashflow; the
ability to have sufficient money available
to make payments, pay wages and buy new
goods when you need them. But what happens
when an unexpected cost hits you, if a large
customer makes a late payment, or if they
refuse to pay altogether?
 It
is well known that even profitable, healthy
businesses can be crippled by a lack of
cashflow. With a survey by Altradius showing
that the average small business has to write
off £14,000 a year in bad debts; it is clear
that cashflow difficulties are affecting
more and more businesses.
The good news is that a useful solution is
easy, quick and low cost! Factoring and
Invoice Discounting allow you to get up to
90% of the value of an invoice instantly,
with the remainder paid after the debt is
collected. This means that if you
offer credit terms of 3 months, you no
longer need to wait 3 months to get paid!
Not only does factoring allow you to
maximize your cashflow without needing to
take out a loan, it also makes it easier for
you to offer credit terms to your customers;
providing you with a useful selling and
bargaining point.
Factoring is particularly useful if you have
just started up in business. It can be a
busy time, with setup costs as well as
equipment and supply costs all going out in
a short time period. By using factoring to
get finance from your invoices, you can help
to maintain your cashflow for those
essential purchases and costs.
Why not find out whether our Factoring and
Invoice Discounting services can help you
maintain cashflow and get paid quickly!
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