The Power to Progress by 100%
09th Mar 2010
A business which recently celebrated a decade of success has selected confidential invoice discounting to expand its operations still further.
A supplier of components to the power industry, many of the company’s clients are large, international organisations. Due to the quality of the book, the company has not experienced a bad debt in all of that time.
However, a main feature of supplying blue-chip companies such as these has been the high level of debtor concentrations.
The managing director comments, “Invoicediscounting.com showed us how we could obtain funding based on 90% of our invoice values. This was particularly helpful since our business can also be subject to seasonal funding peaks.” He adds, “When we approached our clearing bank, they were not at all helpful. The fact that a significant proportion of the sales ledger was export together with debtor concentrations made it a more complex transaction that only our present financiers could get their heads round.”
He continued, “As a result of our own initial enquiries, we entered into preliminary discussions with a number of invoice discounting companies. However none of these offered such a flexible and supportive approach, as the one that InvoiceDiscounting.com introduced to us. Now we have a financial partner on board that is always looking to provide solutions rather than producing additional hurdles for us to cross.”
“Confidential invoice discounting is the right arrangement for us. It provides advantages for a business with the potential for growth and, unlike overdraft arrangements with the clearers, you do not have to spend time continually re-negotiating the facility.”
“Right from the start, InvoiceDiscounting.com were prepared to understand more of the features of my business. This wasn’t just a matter of producing an off-the-shelf package with rigid formulae that could not be altered in changing business conditions.”