Invoice Finance is a line of credit secured against outstanding sales invoices, not real estate. Also known as factoring or debtor finance, it provides a business with fast access to working capital that would otherwise be tied up in accounts receivable for 30 or 60 days or more to help meet operating costs or fund growth.
An invoice finance facility with FactorONE will help you turn your outstanding invoices into cash within 24 hours. You will be able to draw up to 80% of the value of your invoices with the balance (less our fees) becoming available when the invoices have been paid.
It is one of the most versatile funding solutions available to small and medium sized businesses because it can be more readily accessed, can increase overall funding, and improve cash flows quickly which can lead to other efficiencies in the business. Importantly, because invoice finance is linked to the value of sales, the level of funding will increase as the business grows.
Over the past 25 years invoice finance has become a mainstream funding option for SMEs in the UK, the US and Australia, with the take up accelerating significantly in Australia over the past 15 years. There are currently more than 4500 Australian SMEs, with combined annual revenues of $65 billion, using factoring amd invoice discounting facilities to bolster and improve their working capital.
Invoice finance provides an estimated $7 billion in credit lines to Australian businesses, based on the latest figures from the Debtor and Invoice Finance Association of Australia and New Zealand (DIFA).
More information on Factoring
- Why Choose Invoice Finance
- How Does Invoice Finance work?
- Who is Invoice Finance for?
- When does Invoice Finance work?
Contact Us today to see if our invoice finance facilities can assist your business.
