Factoring for Small Businesses

Factoring Facilities Aimed at Small or New Businesses

sme factoring solutions

At Factoring Solutions, we have relationships with factoring companies that offer fair, attractive small business factoring facilities. Our aim is to connect small businesses with turnovers of £50,000 and above with factoring companies that can provide fair, well-planned alternative finance.

The small business factoring companies we work with provide tailored factoring facilities, specifically for smaller companies. Some of the features they offer:

  • Rolling one month notice agreements
  • No minimum amount of fees payable
  • Single bundled charge with no separate interest charges
  • No problems with concentration limits

These features of factoring are markedly different from the sometimes punitive terms of banks and other lenders, which can sometimes leave small businesses worse off than they were before.

Factoring takes the assets that the business already has – its unpaid invoices, and turns that into finance. With no hidden or variable terms, factoring is the ideal alternative financing solution for SMEs.

badgeIf you run a small business or new start and need access to finance, call our friendly, expert team today on: 01827 707680.

Factoring for Small Business with No Contract Period

Many small and medium enterprises (SMEs) can find it difficult to obtain the funds they need for growth and their day-to-day needs. Banks, still smarting from a long recession, are keeping a tight hold on their lending, especially when it comes to businesses on the smaller side. This leaves many SMEs stuck in a catch-22 situation – they cannot grow, but banks will not lend to them the money to grow because they see them as a risky investment due to their size and turnover.

However, that does not mean there is no recourse for the smaller or brand new SME looking for funds. There are independent factoring companies out there that have facilities specifically aimed at providing small business finance.

Who is Factoring For?

Some factoring companies shy away from working with smaller businesses – usually those with annual turnovers of less than £200,000 – and so charge relatively high minimum annual fees and other costs. Sometimes, this leaves smaller businesses who are seeking alternative finance wondering why they should opt in to such a deal.

This can lead to SMEs feeling as if they are adrift, with no recourse or access to the small business finance they really need. Many SMEs simply do not have the time for a dedicated finance department, leaving them with funds – in the form of their unpaid invoices – which they cannot access in a regular, timely fashion. This is where we come in.

searchFactoring, at its core, is about helping smaller businesses with a source of income – usually unpaid customer invoices, who do not have a dedicated finance department and that need to access finance to help them stabilise and grow.

processingFactoring uses the business’s own assets – in the form of unpaid invoices, and advances up to 85% of their value to the business, usually within 24 hours
calculatorThe factoring company then acts as a finance department for your business, collecting customer payments and, once in hand, passing the balance to the business minus an agreed service charge
magnifying glassFactoring allows the business to focus on growing and evolving, putting sales ledger management in safe hands
graphFactoring is also great for SMEs looking for an infusion of vital finance without punishing bank repayment terms and conditions

So, if you are a small or medium-sized enterprise and looking for quick and safe finance – that does not leave you in debt, then our team at Factoring Solutions, as an independent factoring broker can find the ideal solution so please contact us now on 01827 707680 completely free of charge as we never charge any of our clients for our services.