Confidential Invoice discounting (or CID ) really does provide a very powerful cash flow solution to your trading business. Confidential Invoice Discounting provides all the working capital benefits from an accounts receivable finance solution while still allowing your business to utilise its own internal accounts systems and credit collection staff.
Most growing businesses often find that confidential invoice discounting is a more flexible source of working capital than bank loans or overdrafts, as finance is made available to the business in line with the level of company sales. While similar to invoice factoring from a funding perspective, confidential invoice discounting ensures strong cash flow, whilst allowing the company to retain total control over its invoicing and credit control processes thus ensuring you have a smooth and effective one on one relationship with your customers. Naturally as the name implies confidential mean confidential, your customers are completing unaware of any invoice discounting facility.
Are You Considering Confidential Invoice Discounting In Your Business?
First of all does your business sell on credit terms to other businesses? if so read on, CID could be for you. However, confidential invoice discounting is not for every business and in actual fact we have had clients approach Enable Finance for a Confidential Invoice Discounting solution and after initial meetings and consultation our Invoice Finance team have found the business owners and Directors better solutions that where more in-line with their individual business goals and systems, that’s why our Advice is priceless.
That said, Confidential Invoice Discounting is the Granddaddy of Invoice Finance and normally only provided to established, profitable companies with a strong management team and balance sheet. The company would typically have their own accounts department, accounts systems, such as Sage and credit collection staff. However, Enable Finance recognise that some small owner manager businesses have all the professional and credible attributes required for confidential invoice discounting and that’s why we have a specific CID product for the small business.
CID Facilities: Things you need to know and have ready to get a Quote
- Do you need Bad Debt Protection? If so which customers or all of them?
- Have a Copy of your Aged Debtors prepared.
- Have financials ready, Management Accounts, Profit & Loss and Balance Sheet etc.
- Have you thought about where your Company is heading? What are your forecasts?
These are just some of the basic things you should have considered or prepared so that when you speak with Enable Finance for a confidential invoice discounting quote we can respond rapidly and accurately.
How Enable Finance Adds Value to your Business
Don’t forget our advisors take the time to understand your business, which is important for you because having the right funding partner in place is crucial if you are ever going to achieve your business goals. Through our sector experience and broad understanding of business our clients not only achieve the right funding partner but furthermore save themselves time and effort throughout the process.