Factoring and Invoice Finance for Manufacturing
The UK manufacturing sector is a globally recognised leader for innovation and quality, so ensuring strong growth in the sector should be a priority for the country, however it has been a difficult time for businesses in this field and access to finance is just one more challenge that manufacturers have to overcome.
High Street Banks and the traditional lenders have been increasingly difficult to work with when it comes to accessing funds for business development and growth. And with customers taking longer on average since the recession to pay their invoices, from 30 to 90 and even 150 days+ to make payment, businesses are being stretched to breaking point trying to meet daily cash flow requirements, even when they have a strong customer base with great supplier relationships.
High Street Banks and the traditional lenders have been increasingly difficult to work with when it comes to accessing funds for business development and growth. And with customers taking longer on average since the recession to pay their invoices, from 30 to 90 and even 150 days+ to make payment, businesses are being stretched to breaking point trying to meet daily cash flow requirements, even when they have a strong customer base with great supplier relationships.
Access to business finance
Nowadays businesses have more options than ever when it comes to accessing finance, so outside of the standard finance from banks and commercial lenders companies can now turn to specialists. Invoice Finance providers offer a range of products that allow clients to access funds as soon as they have invoiced their customers for the goods or services provided. For manufacturing companies this is ideal as it helps ensure cash flow for the purchase of raw materials and other items, such as utilities and power, which is key, especially when gearing up for a new account, production run or bringing on-stream a new service which may require additional resources.
Access to funds is based on a number of factors, including the efficiency of invoicing procedures and strong record keeping, a good spread of customer with a low level of disputes and timely payments.
Access to funds is based on a number of factors, including the efficiency of invoicing procedures and strong record keeping, a good spread of customer with a low level of disputes and timely payments.
How to get the best Invoice Finance deal
When looking at the range of providers and products it can be difficult to know which of the many Factoring companies is best for your business, however, most factoring companies specialise in working with certain types of businesses, such as I.T., recruitment, wholesale or manufacturing. Getting advice to save time and ensure you are speaking to the right partner for your company is a priority.
In addition to this our Prime Mover, Hugh Craen, who has over twenty years in the industry has put together an easy to understand guide to help you achieve the basic best representation of your business when positioning your business for the the best deal terms. See our top tips for getting the best invoice finance deal here.
If you'd like more information on which factoring companies may be best suited to your business then why not get in touch and speak with Hugh about how to achieve the best terms for your business.
In addition to this our Prime Mover, Hugh Craen, who has over twenty years in the industry has put together an easy to understand guide to help you achieve the basic best representation of your business when positioning your business for the the best deal terms. See our top tips for getting the best invoice finance deal here.
If you'd like more information on which factoring companies may be best suited to your business then why not get in touch and speak with Hugh about how to achieve the best terms for your business.
