Blog25 Oct. 2017

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 could be simpler or more convenient. Why not turn your credit sales into cash!

So why aren’t you factoring?

People tell me it’s expensive. Rubbish!

The cost of factoring is made up of two components. Funding and administration
  - - Funding typically costs 12% pa (cheaper than a typical overdraft).
  - - - Admin. is dependent on the type of factoring facility required, the size of your ledger, the volume of invoices and spread of debtors etc. The cost is often less than the time and money you are already spending doing these things in-house.

My customers will think I’m in financial difficulty. Yeah, nah!

Factoring provides working capital just the way a bank overdraft does. Factoring is smart, it is not a loan that you need to re-pay (your customers pay it for you). Tell your customers the truth, you’re factoring with CFF and getting a better deal than what the bank offered!

Factoring, isn’t that a last resort option? Nothing further from the truth!

We can’t help businesses for whom the writing is on the wall. All we would do is prolong the inevitable. We would rather partner with a successful company as opposed to a company on its last legs. Our clients are those who are able to grow their business by increasing turnover and profitability and can provide more certainty to their own suppliers and creditors.

I’ll lose contact with my customers. Actually, you’ll have more time to engage with customers!

We handle account queries, prepare and send out statements, do the banking and receipting, follow up on late payers etc. These are the things that can result in you spending too much time “in the business” and not enough time “on the business” developing new business relationships and selling more goods and services.

Why factor with CFF?

  - Allows you to free up cash within 24 hours of raising an invoice (typically 80% of the value of an invoice), allowing your business to accelerate growth.
  - Allows you to utilise the improved cash flow to obtain early settlement discounts from suppliers.
  - Means less time spent chasing slow payers allowing you to concentrate on other areas, such as driving new business.
  - CFF was established in 1989. We are an experienced and client focussed team serving SME clients throughout NZ. As a family based business we share the same values, goals and aspirations you have.
  - Over the years we have invested heavily in technology to reduce cost and provide a time saving and convenient user friendly service.
  - Our skill set is diverse yet we work together to come up with solutions and strategies that enable our clients to grow and develop their businesses.

We have a range of working capital and cash flow funding options. Talk to us, tell us your story, and let us provide a solution to help your business grow and achieve its goals.