Reviewed: 2nd February 2016
When thinking about factoring as a way to access regular amounts of working capital, some business automatically consider their bank as a suitable lender. Having a strong working relationship with your bank is vital, and if they have a department dedicated to business factoring, it can be a good solution to your cash flow needs.
Although the invoice finance market has opened up in recent years, and there are now a range of specialised lenders on the high street and online, business owners sometimes have more confidence when putting finance matters in the hands of bank staff they know and trust.
So what are the specific advantages and potential drawbacks of choosing your bank as an invoice finance lender?
Some of the larger banking institutions are viewed as slow to react to changes in the market, and have a poor reputation for response times. Potentially not as agile as some of their smaller independent competitors, your growth may be dependent on being able to adapt quickly, which could make bank discounting unsuitable.
Real Business Rescue operates from 37 offices nationwide, and provides independent advice on cash flow finance. Call one of our expert team to arrange an appointment - we’ll be able to put you in touch with lenders aligned to your specific market.
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