Thousands of SME’s have been contacting Factoring lenders ahead of the Christmas Period to help relieve the strain that the Festive pay day can cause. The reason for this rush is that companies notice delayed payments from clients during the slow down of the festive period. Normally the first quarter of the year is the slowest for most companies and if you’ve sent invoices now that have payment terms of 90 day’s it will be well after the festive season that you will receive those payments.
How will you pay your staff? How will you fund the Christmas party? What about Christmas bonuses, and most importantly, how will you buy your own family presents?
Factoring offers a range of solutions that allow you to gain the capital tied up in those invoices and have it in your account within 24 hours. If your clients are credit worthy, you could receive up to 85% of the total amount of your invoices, then when the payment date actually arrives you’ll receive the remaining money minus a small fee for using a Factoring Lender.
There are also 3 options, you can offer all of your invoices to the lender and they can continue to chase payments from your clients, you can chose a few invoices to use and again the Factoring lender will pursue the clients for payment, or you can simply notify the lender of your invoices, send them out and continue to chase payment yourself.
The options are endless and with Christmas on the horizon, extra cash is always welcome. So don’t wait around until Christmas eve, contact a Factoring Lender today, and you could have funding in your account in the next 24 hours. Not only will it help your company through the tough festive period, it will put your mind at ease about when the payments will arrive.