Benefits
- By receiving cash as soon as a sales invoice is raised, the business will find that its cash flow and working capital position is improved.
- The business will only pay interest on the funds that it borrows, in a similar way to an overdraft, which makes it more flexible than debt factoring.
- Invoice financing can be arranged confidentially, so that customers and suppliers are unaware that the business is borrowing against sales invoices before payment is received.
Read more about this topic: Invoice Discounting
Famous quotes containing the word benefits:
“While greedy good-doers, beneficent beasts of prey,
Swarm over their lives enforcing benefits ...”
—Robert Frost (1874–1963)
“One of your biggest jobs as a parent of multiples is no bigger than simply talking to your children individually and requiring that they respond to you individually as well. The benefits of this kind of communication can be enormous, in terms of the relationship you develop with each child, in terms of their language development, and eventually in terms of their sense of individuality, too.”
—Pamela Patrick Novotny (20th century)
“It is with benefits as with injuries in this respect, that we do not so much weigh the accidental good or evil they do us, as that which they were designed to do us.—That is, we consider no part of them so much as their intention.”
—Laurence Sterne (1713–1768)