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Factoring but doing all the collections yourself?

Are you using an expensive factoring facility but feel that you are doing all the work yourself?  This is the most common complaint regarding factoring finance. The factoring company is supposed to handle all the collections  and credit control. However if you choose the wrong factoring company you end up having to do all the hard work which makes the facility doubly expensive. The good news is a CHOCS facility ” Customer Handles Own Collections”   provides a half way house. Read on peops.

A CHOCS facility provides an alternative to a business that isnt eligible for  invoice discounting however would not rather go to the expense of paying for credit control with a full factoring facility. CHOCS funding is very appropriate for business that already have their own in house credit control. As with factoring your customers will be ware that you are assigning your invoices to the finance company however you will be given sole responsibility for the collections element.

Obtaining confidential invoice discounting is not as easy as it used to be this factoring facility may be the perfect solution. High street banks will often try and switch a business from confidential invoice discounting to full factoring during and following a period of difficult trading. This is because a business in such circumstances is perceived a higher risk and as such full factoring gives the banks  greater control and also a greater return for the increased risk.

A CHOCS facility can be provided by a number of independent factoring companies and as such can provide an improved service and affordability.

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XL Business Finance Ltd is a privately owned and independent business financing company with established links to many of the UK's leading finance houses. XL Business Finance provides a viable alternative to high street banks that lack the flexibility and imagination to provide a solution to most business users requirements. XL Business Finance can provide a full range of business financing solutions and we ensure a high level of customer service and pride ourselves on quick decisions. Our independent status will ensure any offer of funding and asset finance leasing is best suited to our customer’s needs.

XL Business Finance, Eaton Place Business Centre, 114 Washway Road, Sale, Cheshire M33 7RF UK.

 

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