FAQs and printing companies

FAQs on Financing a Print Company

Posted: 3rd July 2017

Question: How do I keep my cashflow moving when my customers are late payers but I have bills to pay now?
Answer: Invoice factoring

Question: How can I get help funding outstanding invoices, but without my customers knowing of any third party involvement?
Answer: Confidential Invoice discounting

Question: I have large ad hoc invoices that need funding, but I don’t want a permanent, monthly finance agreement; what will suit my needs?
Answer: Selective Invoice Factoring

Up and down the country, printers, big and small, are facing the same problems - substantial upfront costs and late paying customers. When your customers regularly exceed 60 days plus payment terms it’s little wonder there’s no working capital to put aside for investment and growth, and no wonder you spend so much time stressing over cash flow.

Just like many printers, you’re probably asking yourself how to regulate your cash flow. Well, here’s the answer you’ve been looking for - Calverton Finance’s Invoice Finance for printers; the favoured choice for flexible finance, preferred by many over bank loans and overdrafts for the print industry.

Question: What is Invoice Factoring?

Answer:
Invoice factoring is a cashflow solution that advances up to 90% on each issued invoice. Here’s how it works:

  • As you normally do, you issue your invoice to your customer
  • You send a copy of that invoice to Calverton Finance
  • We pay you up to 90% of that invoice within 24 hours
  • We chase, politely and courteously, your customer for payment on your behalf – just like your own credit controller or accounts department.
  • Once the invoice has been paid we release the remaining 10% balance to you

Question: What is Confidential Invoice Discounting?
Answer:
The difference between invoice discounting and invoice factoring is that you collect your own payments from your customer – our involvement is confidential. Here’s how it works:

  • You issue your customer invoice
  • You copy that invoice to us here at Calverton Finance
  • You receive up to 90% of the issue invoice, in your bank within 24 hours
  • You chase your outstanding invoices
  • Once each invoice is settled you received the remaining 10% balance

Question: What is selective invoice factoring?
Answer:
This type of factoring option is ideal for those only wanting to ‘dip in and out’ of invoice finance. It’s perfect when needing to fund one off, ad hoc or seasonal large print jobs. Here’s how it works:

  • You tell us which invoice you want to fund
  • You send us a copy of the invoice plus any backing documents e.g. proof of delivery
  • We approve said invoice
  • Within 24 hours we advance you up to 80%, minus an agreed one off charge for the service
  • The 20% balance is paid to you upon payment to us by your customer

We provide invoice factoring to printer, Ocean Colour Print. Here’s what Director, Wendy Osborn, has to say; “the flexibility that factoring has given our company has been one of the key ways in allowing us to grow as a company. We look at Calverton Finance as our credit control department, and as such, we do not need to employ a credit controller.”

So don’t delay, get in touch with us today and discuss how we can help manage your cash flow through our Invoice Financing options.

Image courtesy of Stuart Miles at FreeDigitalPhotos.net