Invoice Discounting

This is a form of short-term borrowing often used to improve your company's working capital and cash flow by releasing the cash locked in to your accounts receivables. This finance solution typically suits small and medium sized enterprises needing to take the pressure off when it comes to ensuring a steady cash flow.

Lack of access to working capital and poor cash flow remain the two primary reasons many small and medium sized enterprises fail. By using invoice discounting, we are able to provide these businesses with working capital through flexible borrowing. If your business relies on supplying goods and services on credit to larger companies with a good credit standing, then you can qualify for invoice discounting. We allow businesses to draw money against their sales invoices prior settlement by their suppliers . Essentially you can use unpaid sales invoices in your business as collateral, so we in turn can advance you the money your business needs. You then receive your cash earlier than it would have normally been paid to you, and we take on the rights for your future invoice payments. As soon as we receive confirmation that the goods have been delivered, that the invoice has been rendered, and that the conditions of the purchase order and the debtor's standard terms and conditions have been fulfilled, then we make payment of 75% of the invoice amount to you. A daily discounting charge is levied on the amount paid over to you, which is recovered from the cash payment received from your debtor. Remaining funds are paid over to you.