Invoice finance allows businesses to access funds tied up in unpaid invoices. It can be useful for businesses that invoice other businesses and wait 30, 60 or 90 days for payment.
How invoice finance works
A lender provides funding against eligible unpaid invoices. When the customer pays the invoice, the facility is repaid.
Who uses invoice finance?
It may suit businesses in industries such as transport, labour hire, construction, wholesale, manufacturing and professional services.
Benefits
- Improves cash flow
- Reduces pressure from delayed payments
- Supports business growth
- Can scale as revenue grows
What lenders assess
Lenders may review invoice quality, debtor strength, payment history, business trading history and concentration risk.
When it may not suit
Invoice finance may not suit businesses with mostly consumer customers, disputed invoices or irregular invoicing.
How Nine Fincap can help
Nine Fincap can assess whether invoice finance is suitable and compare options across business lenders.
Want to unlock cash from unpaid invoices? Assess My Invoice Facility with Nine Fincap.
Disclaimer
This information is general only. Invoice finance is subject to lender assessment and eligibility criteria.