Invoice Finance Guide
Cattles Invoice Discounting |
Another product in the range offered by Cattles Invoice Finance is Invoice Discounting. Invoice Discounting is another type of finance product, however invoice discounting does not involve outsourcing the credit control function to a third party.
Cattles Invoice Finance, are able to offer both disclosed and confidential invoice discounting.
Both disclosed and confidential invoice discounting will assist your business by providing an immediate cash injection against outstanding invoices to improve your cash flow.
As your business continues to raise further invoices, Cattles Invoice Finance offer an advance up to 80% of the value of the new invoices that you raise. With an invoice discounting facility, your business will retain responsibility for managing the sales ledger and credit control functions. This is in contrast to a factoring or invoice finance facility. By accepting an invoice discounting facility, you simply report the sum of your new invoices in bulk, so as to access additional funds within 24 hours.
Invoice discounting is better suited for more established businesses. Businesses which perhaps already have an established in house credit control function. Cattles will usually only offer invoice discounting facilities to businesses with a turnover of greater than £500,000. A stable balance sheet and positive cash flows are also requirements.
A disclosed invoice discounting facility means that your customers are aware of Cattles’ funding involvement through notification on your invoices. In contrast, a confidential invoice discounting facility, results in the arrangement between your business and Cattles Invoice Finance remaining confidential. Depending on your own circumstances, either of these finance solutions may be appropriate. A representative from Cattles will be able to advise you on which financing solution is most suitable to your needs.
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