Last edited 10 Dec 2019

Invoice finance

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[edit] Introduction

Invoice finance is a means of receiving early payment on invoices to improve cash-flow.

One of the key issues facing contractors and sub-contractors in the construction industry has always been that of late payment. Invoice finance is a product (or group of products) aimed at improving cash-flow for businesses who issue 30/60/90-day invoices to other businesses.

How it works:

The standard process is 'factoring' - where the customer is made aware that the finance company is chasing for payment. In confidential invoice discounting, the customer is unaware that the finance company is chasing for payment.

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