Factoring in a Prepack
In the current economic climate we are faced with the unfortunate fact that many struggling businesses will be forced to go through a pre planned administration or pre pack. In doing so a business may have a fresh start and typically the victims will be the crown , financial institutions and unfortunately some creditors and members of staff. It is a harsh reality of the recession but in our opinion it is better that a business be given a second chance to continue trading rather than the business folding completely. However any business going through a prepackaged administration will have fewer funding options.
Unfortunately most of the high street banks will not finance a prepack or phoenix company. Therefore many businesses are left wondering what finance options are available. There are only a handful of commercial mortgage options available and good luck with any business trying novate hire purchase or finance lease agreements into a new co. XL Business Finance has the expertise and experience in helping phoenix businesses with their asset finance agreements. On a more positive note there is a plethora of factoring companies, usually independent from the high street banks that are willing and able to fund your debtor book.
However the options in terms of products will be fewer and no factoring company will offer a confidential invoice discounting facilities. The options will be factoring facility with full credit control, a factoring whereby the customer can do the credit control themselves and in certain circumstances it may be possible to obtain a confidential factoring facility. To find out which product will be best suit your particular requirements and which factoring company will delver the best service XL Business Finance has over 10 years of advising and helping many satisfied customers.
Tags: Factoring
