Are you wondering “what is invoice discounting?”. There are two main forms of invoice financing. These are invoice factoring and invoice discounting. With invoice discounting, companies owe money against invoices that have not been paid. They borrow from a financier and pay them back once the invoice has been settled. Invoice discounting may well be for you if you have a good relationship with your client, the invoice isn’t overdue but you simply need the money early or if you don’t mind chasing up the payment yourself. If you don’t want your client to know you’ve used an invoice financing service, you may well wish to opt for invoice discounting.
Identifying your best option
Invoice factoring may well be the best option if you don’t mind your client knowing you have been working with an invoice finance company. It may also be suitable if you would rather spend your time doing other things other than chasing up money. There are many reputable, trustworthy companies on the market who can deliver the outstanding service you’re looking for if you do wish to use an invoice finance service. If
An increasingly popular option
Any quality invoice finance company will speak to you in depth about your circumstances in order to identify the best service for you and your needs. If waiting any longer to be paid simply isn’t an option, using an invoice finance company may be the ideal solution. If you’ve been given a great investment opportunity but simply don’t have the money as it stands, borrowing money against your invoice or selling it could be exactly what is needed. It could be best to speak to three or four different companies so you can come to an informed decision on which firm to work with. Companies from a wide array of sectors use invoice finance companies to raise cash when they need it.