Is Factoring, Debtor Finance, Invoice Discounting, Invoice Funding a good product!

All businesses wish they could have their own money tree. It's just not that simple.

Debtor Finance, Factoring, Invoice Discounting have all been exploited in the past for all the wrong reasons. Robbing cashflow to pay for behind payments or bad debt experiences has often given businesses and lenders a bad experience. For Example: what happens when the company gets into financial trouble and the costs of the lender add up, or the lender puts their funding on stop for what ever reason. 5/10 businesses in this position say the lender caused their business to fail.

When it comes to responsibility of decisions: Who signed up for the facility, who knew the costs, and who had the previous debt or problems before factoring. The Owner did.

Whether the owner was explained the product and it's structures fully, we at TDFC will never know. Regardless of that, the owner holds all the cards and often an incorrect decision becomes a fatal error in this finance product.

If the Cashflow Finance Facility is operated and maintained properly and is correct for your business, it works.

TDFC has experienced staff to help you monitor the lender and product to avoid any mishaps. They also have a large network of professionals to assist your business with any scenario. TDFC stands by service and if we don't know we will use those contacts and endeavour to find a solution for you, to make the correct decision.

Another big statement is: owners say that their cashflow is great, we don't need to debtor finance.

So if all you accounts are running smooth and you have the ability to get more staff/ salesmen or stock and chase more work, then why not use Invoice Discounting. Funding your invoices in advance of waiting to be paid, gives you the opportunity to push your cashflow, getting much needed funding advanced to pay for more staff or product increasing your business size. You can place factoring costs in new job quotations. If you have more stock or staff you have the potential of more sales and growth. More growth means more profits and greater buying power.

The main alternative to Invoice Discounting or Factoring is the banks. You can go for that overdraft or line of credit, but as everything tightens up in the financial world, they turn to security of assets. Most businesses just don't want to, or have those options available.

Debtor Finance is often secured by the debtors. It can be disclosed or undisclosed. You can have debtor insurance to help eliminate bad debt. It can be selective, it can have a fixed fee, there are so many versions available.

TDFC explains all the benefits of factoring and Invoice Discounting. TDFC has over 11 lenders and numerous products for you to choose from. With one call TDFC experienced staff members help you find the product and lender to suit your business needs.

For more information please contact TDFC today or visit our website. www.tradedebtorfinance.com.au