CASH FLOW LENDING
Debtor Finance | GSA | Invoice Discounting
What is cash flow lending?
This is a form of finance we are absolutely passionate about educating business owners and finance professionals around.
Cash flow lending has a number of different solutions under this banner:
Debtor Finance. GSA and Invoice Discounting the main facilities.
There is a difference.
With standard facilities, especially for start up businesses, it's the reliance on the owners personal property that dictates the lending. In most cases, this is not required for cash flow lending.
This type of finance places reliance on the either the trading itself for a GSA facility or the businesses debtors (accounts receivable).
Funds in your debtors awaiting payment is simply cash you potentially could be using to expand or simply trade more efficiently. We're sure you never set out to be a "bank" and provide your customers with a facility, the reality is that's exactly what happens.
Start up businesses are difficult to fund without sufficient security. Further difficulties arise where that business grows with speed and required strong cash flow, for example a transport or recruitment company.
These are prime examples where a startup can gain access to a bank facility, linked to their debtors and grows as the sales/debtors grows. The limit calculated on the percentage of the debtors book and fluctuates accordingly.
Target companies: Manufacturing, transport, recruitment, printing & wholesale.
Turnover: from start-up to $100m (NZ and/or Aus)
Our experience in this field is extensive, as finance brokers, previous debtor finance commercial customers
and previous employment within the debtor finance industry.