Invoice finance vs business loans: Which is right for you?Aug 21 2018 in Invoice Finance
If you operate a small business and are looking to gain fast access to extra cash flow, then both invoice finance and business loans can be good choices. In this article, we will explore the advantages & disadvantages of both.
Invoice finance works by using your invoices as collateral to gain access to your money now. You can essentially get funds owed to you ahead of time. For example, instead of waiting up to 90 days to get paid by a client for a $500,000 invoice, you can receive up to 90% of the invoice value from an invoice finance company like BCashflow Positive, in as quick as 4 hours.
Some of the benefits of invoice finance are:
– Instant cash flow
– The more sales you make the more cash you can get
– Cover the gap of slow payments
– The process is usually much swifter and easier than securing loans
– Suitable for startups requiring working capital to expand
One of the disadvantages of invoice finance is that it is not suitable for all businesses. To find out whether invoice finance is suitable for your business contact BCashflow Positive today.
A business loan is a creation of debt by a business, which is paid back over time with added interest. One of the core benefits of acquiring a business loan is being able to spread out repayments over time.
The downsides of securing a business loan are:
– Business loans typically take a long time to process
– You may have to put up large amounts of personal or business collateral to secure the loan
– You might not be eligible if you’ve not been in business long enough
Making the right choice for your business
If you are in need of quick funding to help seize an opportunity, then invoice finance can be a great alternative. BCashflow Positive invoice finance provides fast 48 hours approval and funding can occur in as quick as 4 hours. We aim to be open and honest with all businesses looking to use our service. That’s why we have a handy calculator, which lets you work out exactly how much you will be charged and how much funding you can get. To find out more call 1300 937 292 today!
What Is Invoice Finance?Nov 29 2017 in Invoice Finance
Definition of invoice finance
Invoice finance allows you to unlock immediate cash from your sales invoices instead of waiting up to 90 days for your clients to pay. Similar to a line of credit secured by your accounts receivable, you can convert your invoices into cash in as quick as 24 hours.
How does invoice finance work with BCashflow Positive?
1. Invoice your clients for the sale of goods or services and send BCashflow Positive a copy.
2. BCashflow Positive will credit your account with up to 90% of the invoice value in as quick as 24 hours.
3. Receive the remaining 10% less any accrued fees, when your client pays us.
What are the benefits of invoice finance for my business?
• With invoice finance, you can unlock cash tied up in your unpaid invoices in as quick as 24 hours.
• Improve your business cash flow allowing you to accelerate growth.
• Cover the gap of slow payments – Don’t wait up to 90 days for payment.
• Funding can increase as your business grows – The more sales you make, the more cash you can get.
• There is no property security or quarterly audits required with BCashflow Positive invoice finance facility.
• Fast 48 hours approval with BCashflow Positive– Not weeks like the banks.
• Spend more time growing your business and leave the follow up of accounts to BCashflow Positive.
How much does invoice finance cost with BCashflow Positive?
At BCashflow Positive we are transparent about fees so there are no surprises.
We charge 1.8% for the first 30 days & 0.06% per day thereafter for up to 90 days.
As an example, if you invoice finance $200,000 in accounts receivable you can receive up to $180,000 in as quick as 24 hours. If the $200,000 were paid after 30 days, the total cost incurred would be $3,600 or 1.8%. Give our fee and funding calculator a go to see how much funding you can get and how much it is going to cost.
Why BCashflow Positive Invoice Finance?
Ready to unlock growth by unlocking cash from your sales invoice? Contact BCashflow Positive on 1300 937 292 today to find out more or apply online today by completing our 3 minutes pre-approval form and get a response within 48 hours.
As Australia’s leading invoice finance company with over 27 years experience, your business is in good hands.
Finance Growth With Invoice FinancingSep 01 2016 in Invoice Finance
Growing – Invoice financing can help
With Banks tightening their credit policies and relying on bricks and mortar for security. Businesses are finding it more difficult than ever to finance their business and in particular growth. Businesses opting for a more flexible funding partner are considering invoice financing as a possible solution.
Invoice financing – A flexible funding solutions for businesses
At BCashflow Positive we understand that not all growing companies will have the hard assets to match. We focus more on the strength of your debtors and the collectability of your invoices.
Our flexible invoice financing facility have helped many businesses that would have otherwise struggled to find funding, by releasing the cash tied up in their unpaid invoices.
How does invoice financing work?
Convert your invoices into cash in 3 easy steps.
- Invoice your client and send BCashflow Positive a copy
- BCashflow Positive advance you with up to 90% on the value of your invoices in 24 hours.
- We will credit the remaining 10% to you when your client pays us.
Click here to learn more about how it works.
How much does invoice financing cost?
We are transparent about fees so you will know what it will cost upfront. Our service cost 1.8% for the first 30 days and 0.06% per day thereafter for up to 90 days. Click here to learn more about our pricing.
What are the benefits of invoice financing?
As a leading invoice financing company we believe in providing personable and fast cash flow solutions to our clients. Some key benefits are, funds in 24 hours, fast approval, access to decision makers, and no property security or monthly/quarterly onsite audits.
Our flexible finance solutions can be a source of working capital for startups and provide constant cash flow for growing businesses. It can help to cover the gap of slow payments and meet operating expenses.
Call us today on 1300 937 292 to improve your cash flow.