During the last week we received an enquiry via our website from a furniture manufacture needing to refinance some existing equipment to provide cash for working capital. Unfortunately the age of the kit meant that the value for refinancing purposes was very low and would nit provide enough cash. On digging a bit deeper it transpires that the customer had been told that they could not use factoring or invoice discounting and as such was struggling for working capital. Businesses which are involved in the construction industry or any other contractual business obtain payment upon application of work to date rather than by invoice. Whilst non of the high street banks are able to fund such applications the good news is that are one or two factoring companies that can indeed fund these applications. They have their own in house surveyors that have experience in all industries and they can verify that the applications are reasonable and accurate.
This is a very specialist area and as such the to funders who can provide such funding are very different financial institutions indeed. Which finance company is best for your business depends upon your own businesses individual circumstances. A brief survey of your business will help us to pint you in the right direction. Much of it will depend on the length of time you have been trading, how profitable the business is , turnover and the quality of your end customers. XL Business finance as 10 years experience in helping such businesses. Give us a call today!
