Debtor and Invoice Factoring in Melbourne Explained and How to Find Trustworthy Companies

Running a business is a complex task, but your primary focus is, of course, turning over a healthy profit so that you can stay on top. Making money isn’t just about being able to pay the bills – it’s about having enough cash to invest in your company so that you can adapt to change, remain ahead of the competition, and purchase the required inventory to take on larger jobs when opportunities present themselves. Unfortunately, even if you’re a busy company, you might not always have money on hand when needed, especially if you’re waiting for clients to pay for work that’s already been done or nearly completed.

Of course, most companies operate on being paid after completion of the job, but that may leave you strapped for cash in the meantime. Perhaps you’re a labourer who rents the required tools for the job every time, or maybe you need to purchase more hardware to accept a job offer by a large client. In these situations, the banks might be unwilling to give you a cash advance, or they may charge an astronomical interest rate if they are willing. Fortunately, there is another way to secure money when you need it, and that’s by contacting our specialists for debtor factoring in Melbourne.

At Nova Business Finance, we understand that it’s difficult to get a new business off the ground, and we know that cash flow can suddenly dry up for small to medium sized companies despite having plenty of work. We give you a cash advance based on the invoices you have yet to collect on, and in most cases, we can have the money in your bank account much faster than any bank could. We try to minimise the bureaucratic nightmare that is securing extra cash, which certainly can’t be said for private loan providers and banks. Keep reading below to find out why more and more companies are taking an interest in debtor factoring in Melbourne.

The Benefits of Invoice Factoring in Melbourne

Debtor factoring, also known as invoice factoring, refers to the process of securing cash based on the money you’re owed from clients for completed work, usually by assessing your outstanding invoices. Here’s why this form of funding might be perfect for you:

  • We can approve funding within 24 hours – As a small business that needs cash imminently to avoid going under, you may need a way to obtain financing quicker than banks can provide loans. Banks can take months to value your assets, carry out a risk assessment, and finally transfer the money to your account, but we can often have the cash in your hands the very same day you apply.
  • We chase up your invoices – If you’re a little strapped for time and barely have the chance to chase clients for payment, you don’t have to! We essentially give you money for the invoices, making our agents responsible for obtaining payment from your customers.

Cash When You Need It

If you require cash right now and don’t want to risk your company and assets by taking out a loan, we’re here to help. We usually approve applications within a day and transfer your money as fast as possible. Contact us today to find out why we’re among the best factoring companies in Melbourne.