How to Choose an Invoice Finance Provider

Video Transcript

If you think invoice finance would be a great solution for your business, it’s time to look at individual providers. When choosing a provider, consider their ability to service the business of your size, location and industry. Once you’ve established this, make sure you ask the following questions. How flexible is their service? If you’re a growing business, your facility needs flexibility to grow with you. Can they scale up the facility as your business grows? Make sure they’re willing to work with you and your business in different scenarios you might encounter. What are their fees, and is there anything hidden? Some invoice finance providers will try to charge extra fees for services that are vital to the package they offer. This cost can add up so make sure to be clear on what all the facility is going to cost you and ask them for a list of all fees that will be charged. How would they interact with your customers? Invoice financiers will need to run checks on your customers and occasionally make contact with them to verify submitted invoices. Most of the time, this is done very professionally and without interruption to your business, and it’s rarely a problem for your clients, but just check how they work and what their process is. Do they get heavy handed? And just check online if there’s any negative reviews. What is the process if a customer fails to pay? Look in depth into how the financier will treat overdue invoices. Do they get heavy handed? Is it a recourse or non recourse facility? If you’re on the hook, in that it’s a recourse back to you, consider whether there is an ability to swap out the overdue invoices with new invoices and the other thing to ask is do they have trade credit insurance to protect you in the event that one of your debtors has an insolvency event. How easy is it to use? Invoice finance should be easy and fast, your providers should have a smooth, online, real time portal, backed by fast invoice approval system that reflects funding availability without the need for you to email or phone to get regular updates. Ask about how their interface works and how often they fund, and how quickly they release residuals, once your debtor makes payment.

Who is OptiPay?

OptiPay, one of Australia’s leading business finance providers, has been dedicated to helping small business owners solve cash flow challenges  for over a decade and has provided $1.5 billion in business funding to more than 500 Australian businesses. OptiPay specialises in modern financing solutions such as invoice factoringinvoice financedebtor finance, and lines of credit. OptiPay’s mission is to support business growth providing liquidity in as little as 24 hours, ensuring they have access to tomorrow’s cash flow today. This rapid access to funds helps businesses maintain smooth operations and seize growth opportunities without the stress of cash flow constraints. At OptiPay, we believe that healthy cash flow is the lifeblood of any successful business. Our commitment to helping businesses overcome financial hurdles and achieve their growth ambitions has solidified our reputation as a trusted partner in the business finance sector. Whether you are looking to stabilise your cash flow, expand your operations, or navigate financial challenges, OptiPay is here to support your journey with innovative and efficient financing solutions.

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