Cash flow is king, welcome to 2009
The old cliché of ‘cash is king’ has never been more important than at the present time. Traditionally most businesses have relied on some form of third party funding whether it be bank overdraft or business loans.
“Now may be the time to consider alternative forms of funding such as invoice factoring, which is increasingly popular for small to medium businesses. While not suitable for all businesses, the huge benefit of invoice factoring is that rather than have money tied up in invoices that are yet to be paid, you can receive an initial payment up front (typically 80% of the gross value) and the remainder when the customer pays the invoices to an invoice finance provider, less the service fee which has been negotiated with them. (By Karen McLauchlan, Evening Gazette)”
The above is just a reminder which I thought needed to be said again especially this year. Since been back this year we have had a lot of enquiry for our services as businesses are forced to think outside of the usual bank funding lines.