ABFA’s annual report for 2010 has revealed a huge growth in money issued for invoices through invoice finance facilities.
Across the invoice finance industry as a whole, over £200 billion worth of cash was funded in 2010, showing a rise of 22% since 2006.
Since 2006, the amount of cash funded through invoice discounting facilities has risen by £34.8 billion, to over £180 billion in total. Cash funded through factoring facilities for 2010 equaled almost £18 billion.
Over 36,000 businesses now have either a factoring or invoice discounting facility in the UK, with 31% and 23% respectively being in the manufacturing and distribution sectors.
Factoring is the most popular invoice finance facility in terms of the number of businesses signed up to a facility, whereas invoice discounting facilities funded the most amount of cash across the UK.
Skipton Business Finance is delighted to see the industry continuing to grow, despite the current poor economic climate, and hopes that 2011’s report shows similar growth.