When to use invoice financing
Invoice financing is a great way to help smooth out your business’s cash flow.
Here are five ways in which invoice financing can help:
Rapid business growth – If you’re growing fast, you can use invoice finance as it is linked to your sales.
Seasonal ups and downs – If your business has ups and downs over the course of the year, invoice finance can help ensure you always have enough cash.
Urgent funding – Traditional bank financing can be slow, whereas invoice financing can get approved quickly.
No trading history – If your business is new, it can be hard to get traditional loans.
Wages and expenses – Depending on your payment terms, your business might need cash to help pay wages until your invoices have been paid.