Touch Financial offers a range of financial solutions for your business. This range of services includes factoring, invoice discounting and invoice financing. While each of these services is a little bit different and you will need to decide what might be the best option for your business, each has something to offer.
With each service, of course there are the benefits and the draw backs and these will be the same no matter what institution you go to. The trick is of course to balance the financial needs of your company against the advantages and disadvantages of the various financial options available to you.
One of these services is factoring – when you sell your business's invoices to a financial company like Touch financial and you get an increase in cash flow to your business. The fee is determined as a percentage of the invoices that are sold.
The clear advantages of factoring are that it is a rapid influx of capital into your business. Also that the sales ledger management will be handled by someone else, freeing up time for you. There are many more advantages for, but for the sake of balance here are a few disadvantages.
The cost of factoring has to come from somewhere and realistically it will come from your business's profits. The other disadvantage is that it may limit the borrowing options that are available to you later.