A newly formed logistics company specialising in supplying engineering and automotive parts was required to ship essential parts to clients across Europe at short notice, ensuring goods reached the right destination within 24 hours. Its Managing Director depicted the challenge, “We needed funding to get the business off the ground. Our clients are mainly in the engineering sector, automotive and aircraft part suppliers. Their payments terms vary – anything from 30 to 60 days. That means if we ship something on the 1st of the month and invoice on the 30th, we might not get paid until 90 days after the work was done. That’s a huge hole in our cash flow.”
They decided to go to Touch Financial, the trading name of SFP Brokers, who helped assess their requirements and provide the best options, “They did all the hard work for us, sourcing potential factors and even setting up appointments to meet. They did a very good job and found us an excellent lender. Touch Financial make a point of keeping in contact every month and I’d rate their service as first class.”
The managing director reveals how invoice finance helped their business, “Using the factoring service from Lloyds means we get 80% of our invoice paid almost as soon as we raise it. That means we have the cash to pay our staff and suppliers, allowing us to run and grow the business.”
Invoice Factoring is one of the key services sourced by Touch Financial who work extensively in the logistics sector, finding business owners the finance they deserve.