Why is the PPSR Important for Business Owners?
Video Transcript The PPSR is vitally important for business owners to understand, because by offering credit terms, what they are in fact doing, is offering a form of finance to their customers, because they are providing their goods or services for free, for the agreed credit period. Should that customer have an insolvency event, […]
Is Invoice Finance an Unsecured Loan?
Video Transcript No. Unlike a traditional loan, which requires P&I repayments on a weekly or fortnightly basis, Invoice Finance has no repayments, as it’s simply bringing forward the cash that’s owed to you from your Customers and we the financier are unlocking that cash for you. The financier (OptiPay) gets repaid when your Customer […]
Why Managing Your Debtor Ledger is So Important
Video Transcript Management of your debtor ledger is absolutely critical to the ongoing success of any business. Because if you send off an invoice, you deliver your goods or service, you send off the invoice in anticipation of being paid in, whatever your agreed credit terms are, which might be 30 days later. And […]
What Options Do Small Businesses Have to Fund Themselves?
Video Transcript They can access cash through a variety of means. One might be traditional bank debt, another option might be to invest money into their business themselves. But those two options may be difficult because we know with traditional bank debt, particularly post the royal commission is very difficult to access any sort […]
What are the Benefits of Invoice Finance?
Video Transcript The benefit of bringing forth the cash flow from down the track to today is that you’re obviously, as soon as you’re delivering the services or selling the goods to your customers, you’re accessing that cash. You’re getting access to that cash, rather than have it sitting as an asset on your […]
Invoice Finance Companies are Not Debt Collections Agencies
Invoice financing and debt collection are two disparate things that frequently get mistaken for one another. Though the two really have nothing to do with each other, misunderstandings abound. As such, it is a good idea to review the roles of financing companies and debt collection agencies, how they are different, and the common reasons […]
What are the Issues for Small Businesses in “Growth” Phase?
Video Transcript The main issue faced by businesses in their start up phase, which is say from start up to the first three years which is the real crux and we know the statistics that, unfortunately, eight out of ten businesses fail in the first three years. The impact on the Australian economy to […]
The Difference Between Profit and Cash
Video Transcript The difference between profit and cash, and it is a very important distinction that business owners must understand because as soon as they make a sale, it goes through the accounts as revenue. But they may not see the actual cash into their bank account for that for 30, 60 or even […]
Keeping a Business Afloat During a Rough Patch or Even During High Growth Can be Difficult
Every business goes through rough patches — times when money is tight, and you’re wondering how you’ll get through the coming weeks to pay for operating expenses, and wages. Research shows that more than half of all start-up businesses will fail within four years. Insufficient capital is the key reason that businesses fail. A lack of […]
What are the Issues with a Business Loan?
Video Transcript So the issue with a business loan and look, they’ve got their purpose and they are very good. If you need a business loan to go and buy a piece of capital equipment or to upscale the business to take on a new project, then it may well serve its purpose. But the […]