Increasing number of SME's using Invoice Finance

It's been reported that the number of SME's using invoice finance to increase working capital has risen dramatically in the second quarter of 2010.

It was also reported in the same article that banks have to reserve capital against overdraft facilities even when not fully utilised.

This second point probably explains why many SME's are being pushed into their banks invoice financing facilities (as revealed by our customers) by various means. Once there, what awaits the newly hooked SME is a raft of charges that either didn't exist or are much higher than before the "credit crisis". Once all charges are taken into account there are much cheaper factoring lenders than high street banks out there!

If your business is being pressured into any kind of factoring deal then please feel free to contact us for a no obligation & confidential discussion about alternative commercial lenders.

Invoice Factoring Calculator

Our web-site offers a number of commercial calculators that help our visitors work out the potential costs of various business loans.

The latest is an Invoice Finance Calculator that will give an illustration of costs and how much cash flow could be increased by based on turnover.

Remember to qualify for a factoring facility a company must trade with other businesses and offer credit terms.

Eland Business Services Limited are specialist Factoring Finance Brokers in the UK.