Working capital management with Invoice Finance

Updated: 27 July 2022

Is Invoice Finance suitable for a growing business?

Invoice Finance can bring many benefits to fast growing businesses because it can bring forward the payment cycle, shrinking the time between work and payment. This gives both reassurance and flexibility, so you’re safe in the knowledge that you have working capital cash flow at your disposal.

Invoice Finance can play a key role in your working capital management plans by helping maintain healthy cash flow needed for operating costs, increasing demand for goods and services, and supply chain challenges.

The ability to add Bad Debt Protection to the facility also means you are covered if your customers get into financial distress, providing extra peace of mind to your business trading and continued success.

More businesses discovering benefits of Invoice Finance

The financing solution is becoming more prevalent in today’s market and more businesses are seeing that it helps to increase with working capital cash flow because it unlocks cash from your unpaid invoices.

Without the necessary funding in place, expansion plans often stall. Invoice Finance can finance growth, both organic and through acquisition, and allow investment in your business. A company’s debtor book is fast becoming its biggest asset, and the nearest to cash or services already sold and waiting for payment.

Facilities management firm Allpro Services is a great example of how Invoice Finance can make a difference when it comes to funding growth. Read the case study to see how our funding solution fuelled their growth when traditional lenders weren't willing or able to.

Speed and flexibility to capitalise on new business opportunities

The flexibility and speed in which the facility is delivered means it provides a vital platform from which to respond quickly to new business opportunities. It can help finance growth plans to:

  • Relocate to new premises
  • Undergo a recruitment drive
  • Tender for new contracts
  • Acquire a new business

The level of finance available is directly proportional to sales which means the funding should automatically increase as your business expands, thereby providing stability in your working capital cash flow cycle.

There is no doubt that an Invoice Finance facility can bring confidence, that you have the required liquidity to manage day-to-day business trading and to realise your future potential.