Financing Your Small Business – Factoring Solutions
First of all Factoring isn’t suited for all small businesses. Most owners use all their cash assets in the first 12 months of their start-up.
Due to the size and youth of most small businesses, bank products struggle to assist owners in growth. It is important to remember that bank products are much cheaper options. Most importantly banks need security to obtain these facilities.
how does Factoring work?
In order to ascertain a facility you need to have a business selling to commercial debtors. In most cases these debtors pay their invoices in terms. Another important note is all invoices have to be completed. Factoring Lenders take control of your debtors ledger. As a result they offer funding on those unpaid invoices of up to 80%. They reimburse the final 20% of the ledger once the debtor has paid the financier. Lenders have a range of products. Fees and chargers are determined by the amount of admin needed to run the facility. Another factor is the amount of time it takes for debtors to pay their invoices.
You would look to factor invoices in order to grow your business. Take advantage of cheap or bulk stock orders. Have monies available to bring on more staff. Flexibility can ignite imagination with your business goals.
Why would you use TDFC?
Trade Debtor Finance Consultants is a family owned business. Originally this business was a state of the art business. There was an industry need for owners to better understand factoring.
In conclusion at no direct cost to your firm, TDFC offers an obligation free written quote. One call is all it takes and consultants will explain lenders and products in detail. Finally presenting a quote with up to 4 of the best options available.
TDFC is supported by up to 28 lenders Australia wide. Factoring Lenders have different strengths and suit different clients. In order to find out more about Factoring please ring 1300 00 8332. Or you can email firstname.lastname@example.org