Blog | Cash Flow Funding

Cash flow - killer of companies

More than 10,000 businesses have started up each year for the past four years. Within three years, 25 per cent have folded (about 7500 companies in total), because of cash flow.

Is your business restricted by the timing of your cash flow?

How can Cash Flow Funding help?

You send your invoice to CFF rather than waiting 30-60 days for payment from your customer and we provide you 80% / $160 right away (with the residual 20% once the customer has paid us and less our fee)

Working Capital Funding Opportunities Are Not Being Effectively Portrayed To Businesses

All business owners and their accountants are aware of the importance of working capital and the critical role it plays in the business cycle but few understand how the provision of working capital has been “hijacked” by banks and financiers over the years.

Get What You’re Owed Today!

Why wait until after the 20th of the month following to get your invoices paid? With factoring you can receive 80% of the amount owing immediately and the 20% balance once your customer makes payment to us.

What’s the biggest challenge facing your business?

A recent SME survey identified the key challenges a growing business has to contend with. The answers weren’t surprising, namely; “skilled labour shortages”, “the burden of red tape”, “wanting to maintain a work/life balance” etc. Near the top of the list, as always, was “access to working capital.”

Late Payments in NZ

Earlier this year a Dunn & Bradstreet (D&B) trade payment report highlighted some interesting facts;

- Larger companies are slower to pay their invoices than smaller companies.

- Auckland companies are slower to pay than other NZ companies.

- The slowest payers are typically businesses who have been trading for less than seven years.

- The industry which represented the slowest of the slow payers was “wholesale trade”.

Disclosed vs Confidential Factoring - Which is Better?

Let’s be very clear, the factoring of debtor invoices is a good thing. The ability to convert credit sales into cash will help any business develop stronger liquidity. The real issue is, what type of factoring facility (Confidential vs Disclosed) is best for your business?

Because Cash Is Still King!

“By withholding payments the large companies are affecting cash flows and restricting small businesses from thriving.”

“Large companies 'killing' small businesses by withholding payments.”

CFF Case Study

What follows is an example of how CFF “outside of the box” thinking could help your business. The problem is common (banks won’t increase the amount of available funding). The solution is part of our smarter business funding offer. The scenario is hypothetical.

The True Cost of Borrowing

When searching for business finance most people ask themselves a few important questions: How much money can we get? What’s the interest rate? How long will we have to repay what we’ve borrowed? (please read our earlier blog So, Your Business Needs Further Funding!")

Apply now

Use our simple online application and get started now.