Debtor Finance is broad name associated with Factoring or Invoice Discounting.
Basic principals apply with these products. Funding on your invoices in 48 hours other than waiting 30, 60, or 90 days. The debtors pay on their terms and you use necessary cashflow to grow your business to the next level. When you debtors pay they pay the lender 100% of the invoice. They in-turn take out amounts borrowed plus fees, and release final 20%.
Positives of this Factoring facility is that bulk monies on invoices helps get discounts for early payment on products, eliminates late payment fees, help you put more staff on to secure more sales or marketing, or helps you purchase that piece of machinery. Invoice discounting in most cases non secured and costs slightly more than an overdraft.
Negatives of the product is mainly the costs of the facility, mainly wrong lender or product for your company.
TDFC consultants with one call can find the product and lenders that suit your business needs. TDFC understands business needs and genuinely wants to help your business reach its goals. TDFC helps explain, identify, and set up the product for you. For more information give TDFC a call today.