Former 'Dragon' and serial entrepreneur James Caan has encouraged smaller businesses to keep their cashflow going by utilising alternative finance sources such as invoice finance.
James Caan is well-known for being a ‘Dragon’ on popular BBC entrepreneurial show Dragons’ Den from 2007 to 2010.
In his guest blog entitled ‘The certainty of payment’ published on the Institute of Credit Management (ICM) website, Caan goes into detail about the seemingly-perennial problem for small businesses of keeping cash flowing.
He discusses the problems associated with late payments which prevent companies accessing the money that is theirs by right, before then acknowledging that, although the government is trying to stimulate bank lending, invoice finance facilities such as factoring and invoice discounting are options that should be considered.
Caan states on his blog: “Overdrafts or loans are not the only ways of ensuring you have the cash you need, when you need it."
”Alternative funding mechanisms such as invoice factoring and invoice discounting rarely deserve the negative publicity they are inclined to attract,” he continued.
To read his blog in full, click on this link.
Invoice Finance for Small Businesses
More and more SMEs are benefitting from the extra cashflow provided by invoice finance facilities as bank facilities continue to prove less accessible and attractive.
Invoice factoring and invoice discounting facilities can be really useful for businesses struggling to cope with late payments and unreliable debtors, as they release cash that can get tied up in unpaid invoices for months on end.
Why not browse our website for more details on how invoice finance works, or give us a call today on 01756 694933 for chat and no-obligation quote.
BUSINESS FINANCE FACT - The number of UK and Ireland firms using invoice finance is expected to increase by 7% in 2013, peaking at 44,412.