Different invoice factoring solutions:
Recourse factoring is the most common invoice factoring solution, releasing up to 90% of your sales ledger within 24 hours, with the invoice factoring company additionally providing a sales ledger management service.
Read more about recourse factoring.
Non-recourse factoring works in the same way as recourse factoring, but additionally incorporates bad debt protection. This safeguards your cash flow against late payment and bad debts.
Read more about non-recourse factoring.
The difference with confidential factoring is that all sales ledger management activity is conducted under your company’s name, rather than the invoice finance company’s. This allows you to benefit from the added expertise while keeping your financial arrangements private.
Read more about confidential factoring.
Also known as supply chain finance, this option involves the invoice factoring company advancing payment to your suppliers. This allows your business to keep longer payment terms, while still enjoying early settlement discounts and stronger relationships with their suppliers.
Read more about reverse factoring.
This factoring solution is specifically designed to support businesses that export goods overseas, as these invoices often carry extensive credit terms. The invoice finance company’s management of your sales ledger can be particularly useful here where there may be language and cultural barriers.
Read more about export factoring.
CHOCCS (Client Handles Own Credit Control) factoring allows businesses the benefit of releasing up to 90% of their invoice value, but means they maintain responsibility for collecting payment. This can help when it comes to nurturing key relationships.
Read more about CHOCCS factoring.