What is an SME?
A Small / Medium Business has many definitions, some say less than $2M of turnover. Some say less than 200 employees. Some say borrowing of less than $3M.
Bottom line is we have not seen a definition that suits or fits for everyone but at the end of the day, it does not matter.
What we DO know is that regardless of your definition is that SME’s make up 97% of Australian businesses. That’s a LOT.
The Banking Royal Commission
The results of the Hayne Royal Commission are not yet fully known but many people think that there will be a negative impact of working capital availability and funding for SME’s in general.
Is There an Alternative?
Fortunately for businesses that have a lot of capital tied up in debtors, unpaid sales invoices; there IS an answer that a lot of Australian businesses often don’t know about. Some call it Factoring, some call it Invoice Finance or Invoice Factoring. It’s even called Receivables Finance or Debtor Finance but at the end of the day it comes down to this: access to working capital by releasing the capital tied up in unpaid sales invoices.
Where do I find the best Invoice Finance or Factoring Finance?
A cash flow finance specialist will contact to with a free online consultation to find a factoring finance option for your business.c