It makes sense to use a reputable and well established factoring broker. They will undoubtedly find you the best option which will be invaluable when it comes to choosing the right factoring and invoice discounting company for your business.

Unlike asset finance specialists where commission is added into the deal, the factoring broker is paid by the factoring or invoice discounting company from the income they would normally charge.

There are some important factors that need to be taken into account when choosing the right finance company. The biggest factor is to identify whether your business requires factoring or invoice discounting. Not all funders are equally specialised in factoring and invoice discounting. In fact some may just concentrate on one aspect of funding. The size and length your business has been trading needs also to be taken into consideration. High street banks are not always the most appropriate funder.

XL Business finance is one of the North of England’s premier independent finance companies with established links to many of the UK’s leading finance houses. Call us today, we are happy to discuss your specific situation.

As I am sure most SME owners agree there are still a  few difficult years ahead when it comes to arranging business finance via the traditional high street banks.

In our opinion banks are in a very difficult position. They are under pressure to start lending to small businesses however many of these businesses are not strong enough to justify bank support. The banks have been heavily criticised in the past for being too cavalier with their lending policy. Rock and a hard stone comes to mind.

Thankfully there are many alternative business finance solutions including cash flow finance, asset finance and refinance, trade finance and EFG funding. More often than not there is always an independent finance company willing to structure a deal when the banks cannot help.

Selective factoring enables business owners and managers the opportunity to select which  customers or transactions they would like to fund, collect and insure against a potential bad debt.

Selective factoring looks at the individual transaction rather than the whole balalnce sheet and debtor book. For smaller or new start business it enables a business to factor selective debts without the need to be tied into a 1 or 2 year contract. In difficult times this obviously helps keep costs down. For larger more established business selective factoring enables factoring of individual invoices where whole turnover factoring isnt needed or wanted.

Obvioulsy there are a number of financial institutions that offer selective factoring. We are able to find the best solution for your needs. Contact us today.

Trade finance provides the ability for business to purchase goods and stock  from within or ouside the UK. The goods can either be pre sold or unsold. Funding is available for just about any scenario however it does depend on a businesses actual circumstances. Just because a business has been declined by a high street bank it doesnt mean funding wont be available from an independent or specialist trade finance company.

For obvious reasons it is far easier to obtain funding for goods that have been pre sold and in certain circumstances 100% funding can be arranged.  XL Business finance can help you obtain the appropriate funding.

At XL Business Finance we believe we can be at least  just as competeitive as any like for like hire purchase or finance lease quote being provided by most UK based  motor dealers.

Any business or director ordering a new or second hand vehicle can expect to obtain funding rates from as little as 3.5%.  Nowadays motor dealers try to earn as much in the finance as commercial finance brokers and as such they are not always the most competitive. There is always the exception to the rule especially when a manufacturer is running a special interest free or interest subsidised promotion.

From time to time XL Business Finance has assets and vehicles for immediate disposal. Coming soon is a lovely 1998 Range 2.5 deisel HSE Auto. This vehicle which will be available in the next week or so has a part sevice history, is an excelllent runner and has a cool 195,000 miles on the clock. Therefore it is just been run in. Seriously though it aint bad and is relatively clean apart from a cracked rear bumber. Tyres look pretty new. If anyone is interested please feel free to give us a shout so a viwing can be arranged. PS Hope everyone had a great Easter

“Can I get a discount for early settlement ?”  is a commonly asked question in relation to leasing and hire purchase facilities. The answer depends on the type of finance agreement, the actual finance company and their policies.

If you have an non regulated finance agreement  don’t expect big discounts, especially if you are tied in on a fixed rate deal. As a rule of thumb most finance companies will provide a 4% discount for early settlement for a non regulated fiance agreement however they are not obliged to. You are more likely to get a discount on a hire purchase agreement as opposed to a lease.

However we dont think there are not big savings to be gained. As they say “cash is king so you may as well leave the cash in he bank for a rainy day!

As an independent business finance broker we are still seeing many businesses looking for additional funding but have been rejected by their own bank. Thankfully there are many independent business finance alternatives that can help where the banks for one reason or another cannot help. Whether it is cash flow finance such as factoring or invoice discounting, asset finance or refinance, import or export finace there are so many viable alternatives. It is even possible to obtain Enterprise Finance Guarantee Funding ( EFG) from some alternative sources. A goodbusiness finance  broker will know at least twenty or so different finance comapnies that can help when the banks wont. In addition they will have the network of fundersd to quickly find you a funding solution

Bad debt protection can be provided on a stand alone basis or in conjunction with a factoring or invoice discounting facility. When provided with factoring or invoice discounting it is known as a non recourse facility. Bad debt protection can be provided by an independent credit insurance company or it can be provided by your bank or factoring or invoice discounting company. The idea is that you are insured if one of customers go bust. However not all insurance is the same and it is probably worth shopping around as their as some big differences between the banks, factoring companies and independent providers.

Sale and lease back involves the refinancing of plant and machinery to enable a business to raise cash for any puropse. XL Business Finance is undertaking a number of these projects for a variety of different reasons. At the moment we have 4 deals going through this week however the interesting point is that we are using 3 different fiannce companies. All finance companies have a niche or a comfort zone with a particular sort of customer, sector or type of equipment. Which one is best for your business depends upon your own personal circumstances.