Confidential Invoice Discounting
We have a particular expertise in this area, and consider ourselves to be the leading specialist Invoice Finance brokers in the Black Country and Shropshire.
Confidential Invoice Discounting (“CID”) has been amongst the fastest growing forms of business finance for the last 15 years, and enables a business to unlock the funds tied up in its sales ledger.
CID is quite simply a revolving line of credit against your unpaid sales invoices. This facility is normally confidential, so your customers are unaware that you are using this form of finance.
The funder will typically advance up to 90% of the invoice value within 24 hours of you raising the invoice, and the remaining 10% is released when payment is received from your customer.
For larger companies, CID can be combined with stock finance, and even finance against other assets, to provide a full “Asset Based Lending” package.
The key advantage of CID is improved cashflow, which enables you to run your business with more confidence, take on additional orders, keep your suppliers happy by paying on time (or even paying early and negotiating settlement discounts), or take advantage of bulk purchase discounts. As the level of finance available automatically tracks the value of your sales ledger, it is especially suited to growing businesses.
There are many differences between the 90 or so funders providing CID these days. We know this market extremely well, and can quickly help you narrow your choice down to 2 or 3 providers, based on the modus operandi of your business, the composition of your sales ledger, and an understanding of what is most important to you in a relationship with a commercial finance house.
Even if your business is contractual, you have high levels of export, a high volume of small value invoices, or a major customer who accounts for a large proportion of your total sales, we can help to structure an appropriate facility for you.