Spot Factoring
Spot factoring or single invoice factoring is a fast and flexible way of accessing working capital for your business. Spot factoring companies will allow you to sell them a single invoice or batch of invoices whenever you need to without entering into a lengthy contract.
Traditional factoring facilities require a contract that can be as short as 28 days but is typically 12 months. They also typically require every invoice to be notified.
In comparison spot factoring can provide a more flexible and cost effective solution if you require a more ad hoc solution.
Spot Factoring - How does it work?
The process would be as follows:
- Contact Smart Factoring Quotes on 0845 863 0738 to assess which spot factoring company is best suited to your needs.
- After making initial contact the spot factoring company will then undertake the required due diligence.
- Once this is completed to the satisfaction of the spot factoring company you are in a position to select which invoices to sell to the spot factoring company.
- The debtors on the invoices are checked to ensure they are financially sound.
- The spot factoring company will also check to ensure that the sale has been fully completed.
- The debtors on the invoices are then advised that the spot factoring company has purchased the invoice.
- Money is advanced to your business.
- When the invoice is due the customer pays the spot factoring company
Do you qualify for Spot Factoring?
If you sell to other businesses on credit terms we can consider you for spot factoring. We can consider most businesses irrespective of sector, size and credit history.
This is why spot factoring is such a valuable source of working capital for so many businesses.
