When cash flow gets tight, debtor discounting and factoring finance can provide the cash injection you need to get the wheels turning again. At Finlease we understand how cash flow is the lifeblood of any small to medium-sized business. Our finance solutions can provide a range of facilities that help control the amount of money you have available for day to day expenses. Debtor discounting and factoring finance can ensure you’ll be paid 80% of your client’s invoice value within 48 hours. This could potentially save you money by allowing you to take advantage of discounts offered by your suppliers for prompt payment.

The late payment of invoices or the sheer amount of outstanding debtor payments could wreak havoc on a company’s cash flow, and force it in turn to become a slow paying debtor to its suppliers. The practice of Debtor Finance is effectively where invoices are used as guarantees for cash advances from a third party financing company. Typically, 80% of an invoice’s value is advanced, with the remainder paid after the customer settles in full, minus any financing fees around 2%–3%. This fee is often less than what businesses offer for early payment.