AIF recently financed a Hunter Valley based mobile crane business. This client has been a long term a client in previous business’s and had in recent years been doing some spot factoring to smooth out cash flow with smaller factoring firms.
The business owners had consistently found that cash flow was a 52 week a year issue and that short-term lending/ loans and spot factoring was inadequate funding to operate the business.
The client had invested sufficient funds in the business and was not suitable or wanting a traditional bank facility. The main cash issue was around dealing with monthly sales fluctuations in the business and the payment of creditors. Discussion had previously been had but prior to Christmas cash flow for the wages had declined and the forecast for January and February 2020 were for strong sales but slow receivables.
The Cashflow Finance Solution:
So, they contacted Australian Invoice Finance management who they had known for nearly 20 years to obtain an Invoice Finance facility. This was set up in a couple of weeks. AIF also assisted with settling three previous lender facilities.
The business has high and positive expectations for sales growth in the future and now has the right finance, that’s invoice finance to fund the business growth.