If you own a business and you rely on customers paying invoices within a 30 day period for your working capital, your cash flow is effectively tied up in those invoices. This limits growth and can cause problems when paying staff and suppliers. Factoring is the process of releasing cash from invoices as soon as they are issued, allowing you to put the money to work where it is needed most from Australia's Business Factoring specialists.
Factoring is simple and effective to operate, advancing up to 80% of the face value of your invoices the day you deliver the goods or services to your customer and generate your invoice. When your customer pays the invoice, the remaining 20% of the invoice less any charges, is paid to you immediately.
DoMyQuote is not registered or accredited to provide factoring advice, we are a marketing company providing a FREE service for visitors to DoMyQuote and providing requests to interested factoring accredited suppliers who are looking to provide quotes and who have agreed to pay a marketing fee for this service, which is not added to your premium.
How much does factoring services cost?
The first step is to request quotes for factoring servicesand DoMyQuote will organise quotes from qualified brokers or financiers. Costs and services can vary considerably, so we endeavour to organise quotes that supply an impartial quotation and brokering service free of charge to talk you through the process and answer any queries relating to the breakdown of factoring costs. enter your quote request here
Outsourcing the management of your sales debtors, in addition to releasing cash from qualifying invoices as soon as they are issued. Factoring companies can also handle the management of your sales ledger.
The running of your sales debtors and payment control service involves management of invoices and the collection of unpaid invoices. Handling this in house requires sufficient information systems and experienced staff to cover all the administration work involved. Relieving the burden of your sales ledger can be a more cost efficient and an effective way to manage invoices. It leaves you with more time to develop your business, using the working capital from your outstanding invoices!
Looking to get quotes for Debtor Finance? Companies experiencing strong sales growth and those with seasonal sales regularly experience periods of tight liquidity. Addressing this issue can be very challenging and traditional banking facilities such as overdrafts often do not represent an appropriate solution. The quotes will look beyond the director's personal asset position in order to deliver an appropriate working capital solution. Debtor Finance also known as Cash Flow Finance, Invoice Finance, Invoice Discounting, and Factoring uses the company's accounts receivable / debtors to deliver a flexible source of working capital. Thus offering both disclosed and undisclosed debtor finance facilities (Partnership Debtor Finance or Invoice Discounting).
When looking for Debtor finance there are differences in product offerings. Some companies offer a minimum period (usually 12 months) and some restrict your funding if one of your debtors becomes too large. Most factoring companies will require you to sell all your invoices to them regardless if you need financing on them all and they generally require security over your business. There are however some Debtor Finance companies who don’t have these restrictions where they will fund single invoices on a case by case basis thus it is important to let DoMyQuote organise quotes from factorers to analyse your needs and point you in the right direction. In many situations a more flexible product (even with an individual higher interest cost) may reduce your overall cost of finance.
Looking to get quotes for Invoice Discounting? (Confidential Debtor Finance) is suitable for more established businesses with strong internal controls. The facility is confidential and the client's end customer / debtor are not aware of the arrangement, the customer pays the business directly and the business is totally responsible for all credit control and collection processes.
Looking to get quotes for Inventory Finance? Providing businesses with finance for the acquisition of stock for manufacturing or resale to their customers. Clients include manufacturers, wholesalers and retailers who purchase stock from Australian or overseas suppliers. Finance is available for most new stock, ranging from raw materials and work in progress to finished goods. The stock to be financed does not have to be pre-sold, invoiced and delivered. Clients are not required to provide real estate security.
Looking to get quotes for Production Finance? Enabling manufacturers to fund their outsourced production costs and includes a wide variety of outsourced manufacturing, processing and refining costs that add value to goods for resale. By financing these expenses your business is able to access a new source of working capital, increasing available production levels, whilst driving sales growth. Funding is available prior to commencement of production, enabling your business to secure upfront payment discounts.
DoMyQuote will find a Factoring Agency in Sydney Adelaide Brisbane Canberra Darwin Hobart Melbourne or Perth who's local to you with professional advice on how to maximise benefits from Stock & Hardware requirements and present a Return on Investment. Factoring is also available in all regional areas of NSW, Victoric, Queensland, South Australia, Western Australia, Tasmania, ACT and Northern Territory
The information above is general in nature and does not take into account your particular insurance requirements, financial situation or investment needs. DoMyQuote is not qualified to provide this information, our mission is to forward your quote request to our network of brokers that DoMyQuote has and is continually pre-screening to provide you with the qualified brokers close to you that we believe will provide good advice, professional service and competitive prices from the most appropriate insurance companies in Australia to satisfy your requirements
There is no obligation to appoint any of the brokers that contact you