Invoice Discounting Services
are a fantastic way
for your business to access the funds tied up in unpaid customer invoices quickly, and easily.
Invoice discount services are preferable when you have a fair degree of trust with your client and you are happy to pursue the outstanding balance yourself. If you would prefer for external specialists to chase the outstanding balance on your behalf, then our invoice factoring services might be more suitable.
Invoice discounting allows your business to quickly realise the money that remains unpaid to your business so you can make use of it, and without delay.
Invoice Discounting Meaning
Invoice discounting is an efficient way for your business to realise the funds that otherwise would remain trapped inside customer invoices when they are honoured by a finance company.
The total amount of funds issued by the finance provider is slightly less than the total amount of outstanding balances owed to your business.
Invoice Discounting vs Factoring
The main difference between invoice discounting, and invoice factoring is that invoice discounting services will not chase the outstanding balance of any unpaid invoices raised by your company to your customers on your behalf.
Now the advantage of discounting is that the fee charged by your finance provider is slightly less than that of invoice factoring as their team does not have the additional burden of chasing the outstanding debt.
...If like most business owners your intentions are always for the greater good, but time is your worst enemy meaning that it might be possible that chasing the money owed to your business could somehow be derailed, it might be more prudent to opt for invoice factoring services.
The reason we say this is simply because when seeking to grow a business, the unknown can, and will happen. Invoice factoring will have a team of specialists ready to collect the monies owed to your business on your behalf. Yes it costs slightly more for invoice factoring but it’s mostly worth it for obvious reasons.
All too often we see business trying to save themselves a few % on repayment terms but then despite their good intentions something ‘happens’ whilst signed up to the cheaper service that derails the repayment terms and exposes them to additional charges that may not have been factored into their original strategy.
Invoice Discounting Facility
Here at Hamilton Wood & Company, we provide access to leading invoice discounting services and invoice factoring services.
If you need to realise the money that would otherwise be unobtainable till your customer pays your invoice, then why not speak to our specialists today, we can help you get access to your cash much sooner in the sales process.
To apply for invoice discounting services, please feel free to contact one of our specialist team today.