Cash Flow Finance (Business Only)
Unlock Your Business Potential By Accessing Up To 80% Of The Value Of Your Invoices Within 24 hours!
We also provide you with the benefit of accessing a trusted strong non-bank lender. This frees you from the discretion of a single lending source.
Finance that grows with your business turnover
If your business is growing fast, it’s likely that your cash requirement will be high.
You’ll have to pay for materials or services before receiving payment from customers.
Traditionally, this is where you would use an overdraft facility. But since this is generally based on the value of real estate equity, it won’t necessarily grow with your turnover.
If growth is allowed to a level where the cash requirement exceeds your overdraft, your business could experience a cash-flow crisis. The funds available generally increase in synch with your turnover.
Simplified, innovative processes
We understand the need for simple and efficient processes that will accelerate your business growth and add value to your day-to-day operations. Our Lenders have transactions that are made to work quickly and smoothly for you thanks to the use of cutting edge systems.
What is Debtor Finance/Cash Flow Financing?
Imagine you are a furniture importer who wholesales to other businesses in Australia.
You buy a chair for $20 and sell it for $50, BUT you only had $20 and have to wait to get paid (possibly 45 to 60 days) before you can buy and sell another chair.
No problem, Cash Flow Finance can give you up to $40 against the invoice within 24 hours (with the balance on full payment by the debtor), meaning that you can immediately go and buy two chairs for your $40 and sell them for $100…
You can then receive $80 against the second invoice and you can buy four chairs and so on. The mathematics speaks for itself!
This is a very simple example, but debtor finance is just that – simple. It’s like a line of credit based on what you are owed.
MortgageGURU has access to some fantastic Cash Flow Finance Lenders – Please leave us your contact details by completing the form and we’ll be in touch
Frequently asked questions
1. What is Debtor Finance?
Debtor Finance is a generic description of a funding process, based on the value of a business’s accounts receivable ledger.Debtor Finance is also marketed as invoice discounting, factoring, cash flow finance, invoice finance and receivables finance.
2. Do I really need debtor finance in my business? If your business is currently experiencing delayed credit collections from your customers or suppliers, our products can assist.
Most businesses offer credit terms of 30 days, however feedback from our customers has shown that some businesses collect funds up to 90 days later.
This delay reduces essential cash flow and restricts the growth of your business. You should decide if this is something that is vital in the operation of your business and its ongoing success.