SME’s in particular have two primary challenges that they pretty much all face especially in the early days of operation. These are maintaining a positive cash flow if they have clients that pay in only 30, to 60 or even 90 days. The second is not having credit assessment, credit granting or collections expertise and then falling into the trap of spending too much time working in their businesses instead of working on their businesses.
The solutions
The first can be solved with invoice factoring, an ingenious way to allow businesses to continue unhindered with a certain percentage of their invoices having been sold to an Invoice Factoring company like Finrock Capital. An excellent article on our website clearly explains ‘What is Invoice Factoring’ so if you are not familiar with this or need to know more, do give it a read – What is Invoice Factoring? – Finrock Capital.
The second issue is solved by some invoice Factoring businesses (like Finrock) that offer additional value-added services at no additional charge. These services are not only to ensure that the invoices you have sold to the factoring company do get paid but also to assist your business with several financial issues that many small business owners would rather not be saddled with. What this article sets out to do is point out the important ways that businesses benefit from value-added Invoice Factoring services!
Value added benefits – A summary
The value-added services that Finrock provide are detailed in another article on our website titled ‘There’s benefits on benefits with this invoice Factoring company!’ but to summarise these are: a full credit assessment and management service; sending out statements; chasing up, obtaining confirmation of and allocating payments to the relevant invoices etc.
How these value-added services benefit your business
The question the Business owner may be asking is ‘’I’m all for value-added services but how will these actually benefit my business.?’’ Well, these are a few ways…
- Being more secure about the collection and payment of your invoices gives you a more professional and consistent approach to approving credit limits for customers.
- Because Finrock takes care of your outstanding invoices you don’t need to worry about it and you can now truly focus on your core expertise of delivering to your customers!
- You have 24/7 visibility of the age analysis of outstanding invoices. The Finrock systems are available on your cell phone via an app and you’re just a click away from the status of your outstanding invoices.
- Our excellent collections service ensures that we limit delayed payments, giving you better cash flow and peace of mind! Our target is to ensure that we exceed 95% of invoices as being current and 30 days.
- We manage overdue amounts and collections so well that our Debtor’s ageing statistics are impressive as illustrated for the last 3 months…
Let us be your Financial Rock!
We hope that this article has enlightened you on how businesses benefit from value-added Invoice Factoring services – and if it has please don’t hesitate to arrange a no-obligation consultation with us. At Finrock Capital it’s all about assisting SME’s and many larger companies too to operate seamlessly with the right cash flow, unhindered by the business of invoicing, credit assessment and collecting your invoices.
You need never experience the sinking feeling of being overwhelmed by debt and financial red tape – if you let Finrock Capital be your financial rock!
