Home > Trade Debtor Finance Consultants discuss confidential invoice discounting and factoring

Trade Debtor Finance Consultants discuss confidential invoice discounting and factoring

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article image Confidential invoice discounting and factoring is ideal for the construction industry

Trade Debtor Finance Consultants ' confidential invoice discounting and invoice factoring services are widely used in the construction industry, as well as other industries that work on a progess and retention payment system.

When backed by real estate, confidential invoice discounting and invoice factoring can be a very versatile product. For example, a construction company will normally factor at least 50% of the equity they have in their property or cash assets, which gives them the ability to factor what invoices they want to fund, as long as it is with approved debtors. Instead of offering their whole ledger, construction companies can reduce costs dramatically by utlising selective invoice finance.

With confidential invoice discounting and invoice factoring, construction companies also have a silent account, which means debtors are not being harrassed for payments, nor do they have knowledge of the financial arrangement with a debtor finance consultant.

With a real estate backing, companies are given more flexibility in accounts, like one debtor or debtors that have several issues.

The key features and benefits of confidential invoice discounting and invoice factoring include:

  • companies can be selective with invoices they put in
  • debtors will not know debtor finance services are being used
  • facility limits are very flexible
  • experienced staff shadow verifying contracts and payments
As the risk is higher for lenders in a confidential invoice discounting and invoice factoring agreement, the fee is normally higher than with disclosed factoring. There are no lock in contracts however.

If confidential invoice discounting and invoice factoring sounds like it is suitable debtor finance service, Trade Debtor Finance Consultants are able to discuss lenders and facilities that are right for the business and application.

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