Finance

Managing Slow Payers

Here at Fly Funding, we understand that all businesses face cash flow difficulties at times. Often, this is through no fault of the company, but rather from customers taking their time to settle invoices and finalize payments. In these circumstances, invoice financing might be the perfect options for you and your business.

Essentially, invoice finance allows a business to access a loan, using unpaid customer invoices as security. There are a number of circumstances when this form of loan may come in useful, allowing businesses to access finances for emergency expenses, cash flow or investments.

Commonly, lenders will offer 2 main types of invoice financing. These are invoice factoring and invoice discounting.

Invoice Factoring

Invoice factoring involves a loan of up to 90% of a the value of a business’ invoices. In this circumstance, the lender will also provide a factoring service, collecting payments for the invoices directly from your customers. You will then be paid the remaining balance of your invoices, minus the costs of the factoring service.

Invoice discounting

Invoice discounting works in a similar way to invoice factoring, allowing you to release cash tied up in unpaid invoices swiftly and easily. Unlike factoring, however, the task of invoice payment collection remains the responsibility of your business.

Options That Work for you

The world of finance, lending and loans often appears overly complex; long wait times and complicated application processes can prevent businesses from reaching their full potential.

We are committed to helping you find the most suitable finance options for your business. We take pride in helping businesses access the funding they deserve. Contact us today to find out how your business could benefit from invoice finance.

We’re here to change that.