Light at the end of the tunnel
A new mood is spreading its way through the world of financial services – optimism. .
With a new decade upon us, it seems that things are looking up if the mood of financial services professionals is anything to go by. Andrew Bullard, Head of Business at Cashflow UK said, “I talk to a lot of intermediaries, and there seems to be a consensus that while last year was pretty dire, with manufacturing output down on previous years, high unemployment and access to credit restricted there could be light at the end of the tunnel”.
One of the reasons for this new found optimism could be put down to an apparent increase in the supply of money for business debt. Asset based finance lenders’ are becoming more confident in their risk models, and macroeconomic indicators of improvement continue to build. This means the cash-holders are beginning to relax about putting their money to work in the powerhouse of the UK economy – the SME sector. And while the mood is still cautious there is an understanding that recovery could take a long time, increased confidence can be a driver for improvement, as well as an indicator.
That’s good news for your clients, and ultimately your business, because lenders providing invoice finance are becoming more open minded about which businesses they are prepared to provide credit to. A client that might not have been approved for an invoice finance agreement six months ago, due to a more risk averse market, may very well be accepted now; they’ve made it through the lean times, now they could qualify for credit that will allow them to capitalise on growth.
There are many reasons why growing businesses use invoice finance. As well as instant availability of cash tied up in their unpaid invoices, it can also be used to outsource the management of their payment recovery, allowing owners and managers to concentrate on what they do best – grow the business. As one of the UK’s leading invoice finance brokers, Cashflow UK is perfectly placed to help you find the best arrangement for you and your client.
Call Cashflow UK on 0800 132 156 for FREE, impartial advice.
