INCREASED CASH FLOW THROUGH INVOICE FINANCE

Among the great number of challenges facing companies today is not having sufficient capital to keep the daily running of the business, such as paying salaries on time, getting more stock, purchasing new equipment etc, etc. If cash flow is impacting your company there is a solution and it's called Invoice Finance. There are a number of Invoice Finance products such as Single Invoice Factoring, Full Service Factoring, Partnership Factoring, Invoice Discounting and Confidential Factoring. To ascertain which Invoice Finance product is best suited to your business, speak to one of our finance consultants at TDFC.

Invoice Finance – What is it?

Invoice Finance was coined by lending institutions in the Factoring\Invoice Discounting market; this is when banks and lending institutions offer businesses with a short term loan based upon the total of their outstanding invoices therefore enhancing their working capital by increasing their cash flow. Simply put, it's like a short term bridging loan however for companies instead of houses, usually with approximately 30, 60 or 90 day terms, where you can obtain up to 80% on face value of your outstanding invoices.

Let's say your business has outstanding invoices totalling $100,000; instead of waiting 30, 60 or 90 days to get paid, you can have access to up to 80% of the total amount owed, which in this case would be $80,000 normally within 24 to 48 hours of establishing the Invoice Finance facility. Once the client has actually paid the outstanding invoice then the Invoice Finance facility pays you the balance.

It is very simple to setup the Invoice Finance facility, the cash is usually available within 48 hours and there are no lock-in long term contracts and in most cases this can be done at no direct cost to your company depending on which service you decide to use but rates range between 2-4% per Invoice plus interest till paid.

At TDFC our mission statement is to make individuals acquainted with the loan providers and the products available. TDFC provides business owners choices and even more importantly we inform you about all the truths that lenders frequently forget to pass on. TDFC supports its clients for the life of the Invoice Finance facility.

To find out more about the range of products available to your business call TDFC and speak to one of our finance consultants on 1300 008 332 or visit our website at tradedebtorfinance.com.au.