There is a common mindset for startups and entrepreneurs that in order to grow and scale a business you would need investment to get you off the ground. However, it is possible to grow and scale a business without outside funding.
There are, of course, businesses that simply cannot function without investment, but here are ways of how Accounts Receivable Finance or often referred to as Invoice Finance, can help you to scale without needing to raise capital or debt:
1. Get instant working capital for your business:
Every business knows that without cash it’s impossible to run your operating cycle. Most businesses cannot finance the operating cycle (accounts receivable days + inventory days) with accounts payable financing alone. Consequently, working capital financing is needed. Instant working capital gives you cash to cover operating costs and fund large/future inventory orders.
2. Free up time and focus on growth
Not having to worry about a lack of cash flow means that you can spend more time working on core business activities and frees up time to plan growth!
3. Save money on fees compared to bank loans
Banks charge annual fees even when you are not using the service, fees for listing new customers, in addition to these fees there are interest and service fees. With an invoice finance company, there are no set-up or hidden fees. Depending on your invoice finance provider, fees are transparent and you know exactly what you are paying for.
4. No long term commitment
Depending on your invoice finance provider, you won’t be forced to commit to a fixed-term contract, you can pick and choose when and which invoices you wish to finance on a flexible basis that suits your requirements.
5. It’s faster than traditional loans
Banks can be slow and restrictive to borrowers. Signing up for invoice finance is quick and simple. Factoring facility, Populous World, provides industry-expert invoice finance services and can unlock cash in as quickly as 24 hours.
Selling your invoices is a funding solution that gives you instant working capital against your outstanding invoices but also grows with your business. With factoring companies such as Populous World, you can sell outstanding invoices that are less than 90 days old and receive a cash advance of up to 95% of the total receivable.
>> Is your business in need of fast, short-term financing? Do you need to access cash faster than your customers pay you?
Populous World is an Invoice Finance provider that unlocks working capital for UK businesses.
Bridging your business’s cash flow gap is something that Populous World excels in delivering, providing you with the funding tools to grow and sustain your business.