small business factoring

Factoring companies whilst aggressively looking for new clients tend to turn their noses up at small businesses with an annual turnover of less than £200,000 so quote relatively high minimum annual fees as they can't cope with smaller businesses cost effectively.

There are fixed costs associated with every factoring facility which can make the factoring commission rate for a smaller company disproportionately high but even so there are one or two of the major independent factors that to their credit can offer factoring to smaller businesses without punitive rates. 

We have a relationship with these factoring companies and it is refreshing to see that they offer the same welcome to the company with £100,000 annual turnover as they would if it had five or ten times the annual sales level.
 

Businesses that have a larger than average number of customers or who issue more invoices than normal can also be catered for cost effectively as long as their accounting system uses one of the common accounting packages, as they can download the data directly to the factor's accounting system over the internet.

There is no longer any need for the smaller business to pay extortionate factoring rates, so if you are a smaller company and have been been put off factoring through punitive rates please contact us for an informal chat without any obligation whatsoever.